Stocks of the Hour: Castle Minerals, Global Lithium Resources, Evolution Energy, Raiden Resources

Company News

by Abbey Phillipps

Junior explorer, Castle Minerals (ASX:CDT), today advised that it has received encouraging intercepts from the first 23 holes of a recently completed 52 hole, drill program at its flagship Kambale Graphite Project in Ghana. Several holes returned thick, high-grade and multiple intercepts some of which fall outside of the existing Mineral Resource1 envelope and with many also relatively close to the surface. Castle Managing Director, Stephen Stone commented “The interim assay results from 23 holes of the recently completed 52-hole, RC drilling program at the Kambale graphite project, confirm that it is evolving as a very credible and still not yet fully defined deposit. It’s an exciting time for Kambale especially given the projected increasing demand and under supply of graphite for at least the remainder of this decade.” Shares are trading 3.7 per cent higher at 3 cents.

Growing multi-asset West Australian lithium company Global Lithium Resources (ASX:GL1) this morning announced it has signed a Non-Binding Memorandum of Understanding (MOU) with leading Korean battery manufacturer SK On Co., Ltd (SKO) to explore a range of future business opportunities. SKO is one of the fastest-growing battery manufacturers in the industry, with battery production facilities operating in countries including the U.S., China, Hungary and Korea. SKO supplies batteries to global automakers, including Ford Motor Company, Hyundai Motor Company and Volkswagen. SKO, an affiliate of Korea’s second-largest conglomerate SK Group, has a strong order backlog. Under the terms of the MOU, Global Lithium and SKO intend to explore future business opportunities including the potential development of downstream integrated battery grade lithium assets for an initial two-year period. Shares are trading up 8.8 per cent to $2.34.

Evolution Energy Minerals (ASX:EV1) today announced the execution of a binding term sheet with YXGC with regards to the downstream processing of coarse flake concentrate from the Company’s Chilalo Graphite Project which is located in southeast Tanzania. The Term Sheet envisages, subject to positive results and approvals, the establishment of a processing facility for the processing of 25,000tpa of coarse flake concentrate into high-value graphite products. The Company has undertaken a preliminary review of suitable locations, with a focus on Europe and the Middle East. Phil Hoskins, Evolution’s MD, commented: “Evolution’s strategy is grounded in sustainably producing graphite products for the modern economy. YXGC is a global leader in the processing of coarse flake graphite to manufacture high-value products such as graphite foils. Combining Chilalo’s high-quality coarse flake graphite with YXGC’s experience, technology and know-how will enable Evolution to capture additional margins and maximise the value of Chilalo. Shares are trading up 13 per cent to 26 cents.

Raiden Resources (ASX:RDN) announced today that it has intercepted visual massive, semi-massive, and disseminated mineralisation in multiple drill holes at its flagship Mt Sholl Project. Mr Dusko Ljubojevic, Managing Director of Raiden commented: “We are highly encouraged by these early drill intercepts. All four of the initial drill holes are intercepting visible Nickel and Copper sulphide mineralisation on the B2 deposit and in line with our modelling. The program will continue testing the remainder of the B2 deposit along the strike before we drill to confirm the mineralisation on the B1 and A1 deposits. Other than providing confirmation of historical results, the drilling will ensure we obtain rock density information, as well as, material for future metallurgical studies and resource modelling all of which will be used to advance the project.” Shares are trading up 29.4 per cent to 1 cent.

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