Guess which ASX lithium share just rocketed 50% on a new discovery

ASX lithium shares have been high on investor radars this year.

And looking at the Trek Metals Ltd (ASX: TKM) share price action today, you can understand why.

Shares in the lithium stock leapt 50% higher in early trade and as we head into the lunch hour remain up a heady 40.6% trading at 9 cents apiece.

Prices for the battery-critical mineral are trading at or near all-time highs amid booming global EV growth. And investors are bidding up the ASX lithium share after it exited Friday’s trading halt this morning and released an update reporting promising lithium exploration results.

What did Trek Metals report?

The Trek Metals share price is rocketing on the report that it has confirmed significant lithium potential at its Tambourah Project in Western Australia.

The junior explorer reported that laboratory assays from rock chip samples returned results of up to 3.07% Li2O. The samples came from multiple recently identified spodumene-bearing pegmatite dykes.

Commenting on the results sending the ASX lithium share soaring today, Trek Metals CEO Derek Marshall said:

Confirming very high-grade lithium at surface in multiple spodumene-bearing pegmatite dykes is about as good as it gets for this stage of exploration, highlighting the enormous prospectivity of the mineralised system at Tambourah.

The company noted that the Tambourah Project is under-explored for lithium and has never been drill tested.

“We have ticked another major box towards making a greenfields lithium discovery,” Marshall said.

As for the next steps for the ASX lithium share, Marshall added:

We are looking forward to advancing the project to the next stage with the definition of drill targets and progressing agreements and approvals required to get a rig turning as soon as practicable.

How has this ASX lithium share fared in 2022?

The Trek Metals share price has seen some significant swings this calendar year. Despite soaring higher today, the ASX lithium share remains down 10% in 2022.

That’s right in line with the 10% year-to-date loss posted by the All Ordinaries Index (ASX: XAO).

The post Guess which ASX lithium share just rocketed 50% on a new discovery appeared first on The Motley Fool Australia.

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Motley Fool contributor Bernd Struben 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 Scott Phillips.

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