Sayona Mining (ASX:SYA) share price halted ahead of lithium news

a woman wearing a dark business suit holds her hand up in a stop gesture while sitting at a desk. She has a sombre look on her face.a woman wearing a dark business suit holds her hand up in a stop gesture while sitting at a desk. She has a sombre look on her face.a woman wearing a dark business suit holds her hand up in a stop gesture while sitting at a desk. She has a sombre look on her face.

The Sayona Mining Ltd (ASX: SYA) share price won’t be going anywhere for the rest of the day.

During late morning trade, the emerging lithium producer requested that its shares be placed in a trading halt.

As such, Sayona Mining shares are frozen at 11.5 cents apiece, down 2.6%. It’s worth noting that the company’s shares have sunk more than 13% in value in the past month.

Why is the Sayona Mining share price halted?

The company requested that the Sayona Mining share price be halted while it prepares an announcement.

According to the release, the company is planning to make a pending announcement. This is in regards to an updated resource statement in relation to its North American Lithium and Authier projects.

Sayona Mining has requested that the trading halt remains in place until the release of the announcement or the commencement of trade on Monday 28 February.

More on Sayona Mining’s Lithium projects

While at this stage, no further details have been about the company’s latest JORC resource update, let’s take a look at the projects.

Based in Québec, Canada, Sayona Mining’s Authier Lithium Project is a hard rock spodumene lithium deposit. It has been scheduled for development as an open cut mine, initially producing a 6% Li2O spodumene concentrate.

Sayona Mining acquired 100% of the Authier project back in July 2016. Management believes it will create significant share value-uplift for shareholders as the project is advanced towards development.

In addition, the nearby North American Lithium is an established lithium mine, which will integrate with the Authier Lithium Project.

Sayona Mining is supported by a strategic partnership with American lithium developer Piedmont Lithium Inc (ASX: PLL).

Sayona Mining also holds a 60% stake in the Moblan Lithium Project.

About the Sayona Mining share price

Since this time last year, Sayona Mining shares have gained more than 260% in value.

However, in 2022, the company’s shares are down by around 13% following heavy losses on the All Ordinaries Index (ASX: XAO). The latter has fallen a tad over 6% year to date.

Based on valuation grounds, Sayona Mining has a market capitalisation of roughly $798.4 million, with approximately 7.1 billion shares on issue.

The post Sayona Mining (ASX:SYA) share price halted ahead of lithium news appeared first on The Motley Fool Australia.

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Motley Fool contributor Aaron Teboneras has no position 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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