The Pan Asia Metals Ltd (ASX: PAM) share price has jumped into the green during afternoon trade on Tuesday.
Pan Asia shares are on the move today after the company released an announcement just before the market open.
Let’s investigate what happened.
A quick refresher on Pan Asia Metals
Pan Asia Metals is a minerals exploration company that has tungsten and lithium projects in Thailand.
It has a suite of specialty metals projects located in the Southeast Asian Tin–Tungsten belt, where a plethora of resources has been located over the years.
At the time of writing, Pan Asia Metals has a market capitalisation of around $19 million.
What did Pan Asia announce?
In what investors deemed a positive for the Pan Asia Metals share price, the company reported it had lodged a number of “geothermal lithium and hard rock lithium and tin exploration block applications”.
Specifically, it lodged five “special prospecting licence applications (SPLA)” in southern Thailand, at a site known as the “Kata Thong Lithium Project”.
According to Pan Asia, two of the SPLAs “contain geothermal fields” that are “highly prospective” for geothermal-style lithium.
Four of the SPLAs also are highly prospective for “lepidolite-style lithium and tin”, where each SPLA contains “at least 1 historic tin mine”.
As a result of the applications, and exposure to the Kata Thong lithium project, Pan Asia is a “potential low to zero carbon emitter” via the use of geothermal energy. This is coupled with “nearby” energy from the Rajjabrabha Hydro-electric power station, as per the release.
Pan Asia also stated Kata Thong “potentially positions (the company) to have a zero carbon footprint”.
Investors have relished the news today and are buying Pan Asia shares in droves. They have pushed the Pan Asia Metals share price 134.4% higher on the day.
Pan Asia shares are now exchanging hands at 34 cents apiece, well above the opening price of 16.5 cents.
Pan Asia Metals share price snapshot
The Pan Asia Metals share price has posted a year-to-date return of around 150%.
This sits well ahead of the S&P/ASX 200 index (ASX: XJO)’s return of around 14% since January 1.
The post Pan Asia Metals share price soars 130% on lithium project update appeared first on The Motley Fool Australia.
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The author Zach Bristow has no positions in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.
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