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The National Australia Bank Ltd (ASX: NAB) share price is waltzing through today’s session in the green.

This comes after reports it will allocate $20 million to its private wealth arm JBWere Pty Ltd.

At the time of writing, National Australia Bank (NAB) shares are changing hands at $26.27, having retreated from their intraday high of $26.52.

Let’s discuss what the planned investment entails in a little more detail.

What does this mean?

NAB is prioritising its suite of environmental, sustainable, and governance (ESG) investment products for the upcoming generation of investors.

Thus, JBWere will use the capital to reshape and rebuild its wealth management platform over the coming year.

This means, first and foremost, that all of JBWere’s users’ financial advice will now be digitised.

However, the upgrade also provides an “institutional grade” access portal to private markets, in addition to responsible and ethical investing features.

Ethical-type investing, under the banner of ESG, has become a mainstay and is a “non-negotiable” amongst wealth managers in the current climate, according to the company.

Speaking to yesterday’s Australian Financial Review, JBWere head of private wealth Justin Greiner stated:

The children of today’s clients, who are inheriting the wealth, have different views about sustainability and impact…They want to do more with their investments than just to make money.

Speaking further on the capital allocation, Greiner said:

We’re going to use this money to really grow digital adoption.

These moves come shortly after NAB also divested from MLC Wealth, its former retail financial services business, in a $1.4 billion sale to IOOF Holdings Limited (ASX: IFL).

NAB shares slipped ~2% into the red following the divestiture.

NAB share price snapshot

Shares in the Australian banking giant have climbed ~17% this year to date, extending a 12-month return of 45%.

The NAB share price has outpaced the S&P/ASX 200 Index (ASX: XJO) which has posted a year-to-date return of ~12%.

At the time of writing, NAB has a market capitalisation of $87 billion.

NAB also recently paid a dividend of 90 cents per share, fully franked.

The post Why the NAB (ASX: NAB) share price has jumped today appeared first on The Motley Fool Australia.

More reading

• Which ASX 200 shares helped deliver record profits and a 4.5% dividend?
• Leading brokers name 3 ASX shares to buy today
• Top broker tells investors to stand ready to take profit on ASX bank shares
• NAB (ASX:NAB) share price lifts amid news of bid to acquire Citi banking
• Why the Commonwealth Bank (ASX:CBA) share price is beating the ASX 200

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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The Sydney Airport Holdings Pty Ltd (ASX: SYD) share price is slightly higher today, as news of a proposed $22.6 billion buyout continues to swirl.

Today, shares in Sydney Airport are swapping hands for $7.86. That represents a 0.64% gain on yesterday’s closing price.

However, the Sydney Airport share price is still a way off the $8.25 per share offer proposed by a consortium of infrastructure-focused investment and super funds.

The consortium is made up of IFM Investors, QSuper, and Global Infrastructure Partners.

It goes without saying QSuper is a super fund. IFM Investors also has its finger in the super pie – it’s owned by a group of super funds.

But why would super funds, which, by their nature, are focused on growth and returns, lob such a massive offer at the embattled Sydney Airport? Let’s take a look.

Why do super funds want Sydney Airport?

According to an opinion piece by Karen Maley, published by the Australian Financial Review, Sydney Airport is likely more valuable to super funds as infrastructure than as an airport.

If they get hold of Sydney Airport, its share price won’t mean much to them. In fact, it is expected to be delisted if the consortium’s acquisition is settled.

So what’s the point? According to Maley, it’s being considered by the consortium because, right now, there aren’t many great investments out there for super funds.

Australia’s record low interest rates have created a challenge for investors looking for assets that offer decent yields.

Additionally, a potential lift in inflation rates could see bond yields rise and result in losses for super funds invested in bonds and equities.

Luckily, the consortium of investment funds may have found an answer to such a challenge, and that is infrastructure. Unlisted infrastructure assets have far less volatility and can be seen to be better investments in times like those we currently face. As Maley says:

Super funds typically use independent valuers to determine the valuation of the particular asset, using discounted cash flow analysis.

The discount rate is usually closely tied to the long-term government bond yield. And that means when bond yields go down, the value of the asset rises, and vice versa.

Further, due to COVID-19 implications, the Sydney Airport share price is a bargain and some say the $8.25 per share on offer is too low.

The Sydney Airport share price reached an all-time high of $9.20 per share in late 2019. This was only months before the pandemic reached Australian shores.

Thus, the consortium is likely taking advantage of the pandemic dampening travel says Maley. This is a trend she predicts will continue for the foreseeable future.

Sydney Airport share price

The Sydney Airport share price has been boosted in the aftermath of the consortium’s offer. It soared 33% the day it was announced to the market, and has managed to hold onto the gains.

Right now, the Sydney share price is 22% higher than it was at the start of 2021. It has also gained 49% since this time last year.

The airport has a market capitalisation of around $20.9 billion, with approximately 2.7 billion shares outstanding.

The post Why the Sydney Airport (ASX:SYD) share price is flying higher today appeared first on The Motley Fool Australia.

More reading

• ASX 200 Weekly Wrap: COVID wobbles ASX as shares retreat
• Is it a good time now to buy Sydney Airport (ASX:SYD) shares?
• These were the best performing ASX 200 shares last week
• The ASX shares with the most to lose from a delayed COVID reopening
• Here are 3 of the ASX 200’s most heavily traded shares today

Motley Fool contributor Brooke Cooper 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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ASX lithium shares are surging today following a strong overnight rally in lithium-related peers on Wall Street.

High-profile overseas lithium players, including global chemical manufacturer and lithium miner Albemarle and electric vehicle (EV) maker Tesla, rallied 6.83% and 4.38%, respectively.

In morning trading, Galaxy Resources Limited (ASX: GXY), Pilbara Minerals Ltd (ASX: PLS) and Orocobre Limited (ASX: ORE) pushed a respective 4.16%, 3.27% and 5.10% higher.

Emerging ASX-listed players and explorers, including Vulcan Energy Resources Ltd (ASX: VUL), Piedmont Lithium Inc (ASX: PLL) and Ioneer Ltd (ASX: INR), also opened higher, up 3.33%, 3.74% and 3.00%, respectively.

What’s driving ASX lithium shares higher?

Earlier this month, Forbes reported a potential “perpetual deficit” in lithium due to surging demand in electric vehicles (EV) and energy storage.

Forbes quoted bullish commentary from Credit Suisse, which had this to say: “Following production cuts (when the price crashed), the lithium supply glut has ended, and the market is now tightening as the EV revolution accelerates, supported by the global commitment to decarbonisation”.

Macquarie also provided its commentary in the report, saying: “We now forecast a wider market deficit for lithium in calendar 2021. The deficit is expected to grow in calendar 2022 and widen further in 2023 before some supply response starts to close the gap.”

Recent commentary out of Fastmarkets flags a similar supply tight narrative.

Fastmarkets reported that “lithium hydroxide prices in Asia remained firm, with suppliers reportedly struggling to meet demand while consumers prioritised the security of materials”.

The website quoted a producer as saying that everything needed to be settled before mid-June, “otherwise buyers can barely find anything on the spot market”.

Surging demand sees higher production from ASX-listed producers

ASX lithium shares have been quick to ramp up production or in some cases bring projects out of hibernation.

In Galaxy’s FY20 results, the company said it was operating its flagship Mt Cattlin mine at 60% of nameplate capacity.

The company opted for lower output in response to “soft market conditions in the sector for most of the year [FY20]”.

By early June, Galaxy was operating Mt Cattlin at full capacity and had upgraded its full-year guidance from 185,000 to 200,000 dry metric tonnes (dmt) to 195,000 to 210,000 dmt.

Similarly, Pilbara Minerals plans to grow its lithium production through the restart of its Ngungaju plant.

Pilbara said the restart would cost about $39 million and was expected to contribute approximately 180,000 to 200,000 dmt by mid-calendar year 2022.

The post ASX lithium shares are surging on Tuesday. Here’s why appeared first on The Motley Fool Australia.

More reading

• Here’s why the Ioneer (ASX:INR) share price is edging higher
• Why Tesla stock took off on Monday
• These 3 ASX 200 shares were big movers this Monday
• Why is the Mineral Resources (ASX:MIN) share price up 4% today?
• Leading brokers name 3 ASX shares to buy today

Motley Fool contributor Kerry Sun owns shares in Vulcan Energy. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended Piedmont Lithium Inc. and Tesla. The Motley Fool Australia owns shares of and has recommended Macquarie Group Limited. 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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Motley Fool Australia Chief Investment Officer Scott Phillips joined Nine’s Late News on Monday night to discuss the cash splash ahead for shareholders of iron ore miners, Wesfarmers’ plans to take over API, the parent company of Priceline, and the importance of Tuesday’s business confidence numbers.

The post Miners flying, a takeover for Priceline, and business confidence in focus. Scott Phillips on Nine’s Late News appeared first on The Motley Fool Australia.

More reading

• ASX lithium shares are surging on Tuesday. Here’s why
• This ASX telco grew 3 times faster than the Telstra (ASX:TLS) share price
• Leading brokers name 3 ASX shares to sell today
• How did the S&P/ASX All Technologies Index (XTX) perform in FY21?
• Transurban (ASX:TCL) share price jumps following broker upgrade

Motley Fool contributor Scott Phillips 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 owns shares of and has recommended Wesfarmers Limited. 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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While the Telstra Corporation Limited (ASX: TLS) share price is having a year to remember, there’s another ASX-listed telco that’s growing at triple the rate.

At the time of writing, shares in Australia’s largest telecom company are trading for $3.76 – up 0.67% today and 7.9% in the last 52 weeks.

Macquarie Telecom Group Ltd (ASX: MAQ), however, just broke its all-time high to reach $56.50 a share today. That’s up almost 3% today and an impressive 25% over the last 12 months. That’s a growth rate more than 3 times better than Telstra’s.

Let’s take a closer look at the company.

Company profile

Macquarie Telecom Group is divided into four business segments – telecom, cloud, government, and data services.

Serving businesses and government agencies, the company provides a range of services in the tech sector it claims are “completely different from its competitors.” The company says 42% of all federal government agencies choose to work with Macquarie Telecom, for example.

Why this company is outperforming the Telstra share price

Motley Fool Australia has previously reported on how Macquarie Telecom has been tipped to increase by as much as 40%. To be clear, that’s on top of its already impressive gains over the past year.

Montgomery Investment Management said the company is a “structural winner” that was being underrated by most. It claims many are assuming its gains so far are because of COVID-19 lockdowns and increased demand for remote working.

The Telstra share price is also looked upong favourably by some brokers. Goldman Sachs put a 12-month target of $4.20 on the company – a 12% increase on today’s price.

The sale of 49% of its towers business saw investors rushing to Telstra. The company recently hit a 12-month high of $3.79 and has since fallen back to its current levels.

The contrast between the Telstra share price and Macquarie Telecom is even starker when looking over the longer term. Over a 5-year period, Telstra shares have shrunk by 35% while Macquarie Telecom shares have exploded by 352%.

The post This ASX telco grew 3 times faster than the Telstra (ASX:TLS) share price appeared first on The Motley Fool Australia.

More reading

• Is your money safe in Telstra (ASX:TLS) shares right now?
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• ASX 200 Weekly Wrap: COVID wobbles ASX as shares retreat
• 2 high yield ASX dividend shares that could be buys
• These 3 ASX 200 shares were the most heavily traded today

The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Telstra Corporation Limited. 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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On Monday I looked at three ASX shares brokers have given buy ratings to this week.

Unfortunately, not all shares are in favour with them right now. Three that have just been given sell ratings are listed below. Here’s why these brokers are bearish on these ASX shares:

Fisher & Paykel Healthcare Corp Ltd (ASX: FPH)

According to a note out of UBS, its analysts have retained their sell rating and NZ$22.65 (~A$21.15) price target on this medical device company’s shares. The broker doesn’t expect Fisher & Paykel Healthcare to benefit meaningfully from the recall of the Philips DreamStation. It is expecting ResMed Inc (ASX: RMD) to be the main winner from the development. Outside this, the broker continues to believe its earnings are under pressure from a reduction in COVID-19 hospitalisation rates. As such, it feels its shares are overvalued. The Fisher & Paykel Healthcare share price is fetching $28.50 today.

Platinum Asset Management Ltd (ASX: PTM)

A note out of Credit Suisse reveals that its analysts have retained their underperform rating and cut the price target on this fund manager’s shares to $4.50. This follows the release of Platinum’s latest funds under management (FUM) update. Credit Suisse notes that Platinum has now recorded 30 months of FUM outflows in a row. Unfortunately, the broker doesn’t appear confident this trend will reverse in the near future. This is partly due to Platinum’s exposure to legacy investment platforms. Credit Suisse fears platform disruption and switching could have a big impact on its FUM performance in the future. The Platinum share price is sinking today and down to $4.27.

Wesfarmers Ltd (ASX: WES)

Analysts at Citi have retained their sell rating and $45.00 price target on this conglomerate’s shares. This follows news that Wesfarmers has made a takeover approach for Australian Pharmaceutical Industries (ASX: API). Citi estimates that the acquisition will be 1.7% accretive to earnings per share. And while it doesn’t see meaningful synergies from the deal, it acknowledges that it could be a way to boost its growth in a post-COVID environment. Nevertheless, due to valuation reasons, Citi holds firm with its sell rating. The Wesfarmers share price is fetching $58.55 this afternoon.

The post Leading brokers name 3 ASX shares to sell today appeared first on The Motley Fool Australia.

More reading

• Wesfarmers (ASX:WES) share price gains amid rumours of Priceline rival
• ASX 200 midday update: Nearmap rockets, Incitec Pivot jumps
• Why the Platinum (ASX:PTM) share price is sinking 7.5% on Tuesday
• 2 ASX 200 blue chip shares that might be the best to buy
• 5 things to watch on the ASX 200 on Tuesday

Motley Fool contributor James Mickleboro 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 owns shares of and has recommended Wesfarmers Limited. 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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The 2021 financial year is starting to feel like a while away now, even though it only ended about a fortnight ago. Here at the Fool, we’ve been looking back at some of the best and worst ASX share performers from FY21, as well as how certain indexes performed over the financial year that was.

Today, we’re continuing this trend with a look at the ASX’s newest index, the S&P/ASX All Technology Index (ASX: XTX).

The All Tech Index only started life back in February 2020. This means it has just completed its first full financial year on the ASX boards. As such, it’s a great time to check out how it has performed for investors.

How did the All Tech Index perform in FY21?

So, the All Tech Index started the financial year at roughly 2,128 points. It ended up at 2,963 points as of 30 June 2021. This means the index gained an impressive 39.24% in FY21. Not a bad way to mark your first financial year.

When we compare that performance to the S&P/ASX 200 Index (ASX: XJO) and the All Ordinaries Index (ASX: XAO), it gets even better. The ASX 200 managed to deliver a rise of 24% over FY21, which was just pipped by the All Ords, with its gain of 26.5%.

Both very respectable numbers, but also close to half of what the All Tech Index managed to deliver. What’s more, all 10 of the top holdings of this index managed a positive return for the year, in stark contrast to some of the other sectors we’ve looked at already.

What does the XTX Index look like?

The All Tech Index has far more than 10 companies within it, 79 at the moment to be precise. But, as the weightings in the table below demonstrate, this index is very ‘top heavy’, with the top 10 shares accounting for almost 70% of the entire index’s weighting. In other words, the shares below did most of the heavy lifting.

So case closed? Don’t bet on it. Let’s now take a look at how the individual holdings of the All Tech Index performed over FY21. Here are the top ten holdings of the index, along with their weightings, according to exchange-traded fund (ETF) provider BetaShares:

ASX XTX Share	XTX weighting (as of 13 July 2021)	FY2021 share price performance	Market capitalisation (as of 13 July 2021)
Afterpay Ltd (ASX: APT)	20.1%	92.2%	$34.8 billion
Xero Limited (ASX: XRO)	11.9%	65%	$20.44 billion
Seek Ltd (ASX: SEK)	8.2%	51.4%	$11.49 billion
Computershare Limited (ASX: CPU)	6.5%	28.8%	$9.75 billion
REA Group Ltd (ASX: REA)	5.9%	56.7%	$21.88 billion
Carsales.com Ltd (ASX: CAR)	4.2%	13.2%	$5.99 billion
Nextdc Ltd (ASX: NXT)	3.8%	20%	$5.43 billion
WiseTech Global Ltd (ASX: WTC)	3.4%	65%	$9.88 billion
Altium Limited (ASX: ALU)	3.3%	13.8%	$4.95 billion
Pro Medicus Limited (ASX: PME)	2%	125.7%	$6.17 billion

Some ASX tech share winners and… winners

So as you can see, Afterpay remains the king of the All Tech pile, with a massive weighting of 20.1%. Afterpay was also one of the best performers in the entire All Tech Index, managing a very impressive 92.2% over the year.

It was only bested in this top-10 list by healthcare company Pro Medicus. Pro Medicus, while being one of the index’s smaller holdings, managed the best return of the lot, with a pleasing 125.7% for the year.

But even the All Tech Index’s lowest top-10 stock in Carsales.com still managed to add 13.2% for the year to 30 June. That’s nothing to turn one’s nose up at.

So what went so right for ASX tech shares in FY21? Well, the first thing to note is that FY21 started in July 2020, a time when most ASX shares were still in recovery mode from the March 2020 share market crash.

ASX tech shares were hit especially hard in this crash, with the All Tech Index losing around 30% of its value between 28 February (the day it listed, incidentally) and 30 March 2020.

COVID, earnings, SaaS and more

But it’s been onwards and upwards from there. Many of these ASX tech shares were categorized by investors as ‘pandemic winners’ due to their digital product lines and connections to COVID-safe practices such as contactless payments and e-commerce.

But many have also put up some very impressive growth figures in the months (and year) since, which have also boosted their appeal to investors. For example, Xero managed to post revenue growth of 18%, subscriber growth of 20% and a bump in earnings before interest, tax, depreciation and amortisation (EBITDA) of 39% for the 12 months to 31 March 2021.

WiseTech Global is another share to look at in this light. WiseTech was able to tell investors revenues were up 16% and EBITDA by 43% in its February half-year earnings report.

We also had other events that got investors very interested in tech over FY2021. Afterpay was one of these. The company really turned heads when it announced in May last year the Chinese e-commerce giant Tencent Holdings had acquired a 5% stake in the company.

This helped investors look through the gloom in the months following the March share market crash. These kinds of sentiments could well have spilled into FY21 for Afterapy and other ASX tech shares in this index.

Many of the shares in the All Tech Index have traits in common. Capital light business models, often built on Software-as-a-Service (SaaS) platforms. Future-facing technology. Innovative and disruptive products.

All of these characteristics may have helped these companies shake off the market crash, and thrive in a post-COVID world. And investors who stuck to their guns during the volatility of FY21 have certainly been rewarded for their patience.

Who knows what FY22 will bring for this space. But we do know it will certainly be worth watching.

The post How did the S&P/ASX All Technologies Index (XTX) perform in FY21? appeared first on The Motley Fool Australia.

More reading

• Which ASX 200 shares helped deliver record profits and a 4.5% dividend?
• 3 excellent ASX shares for growth investors in July
• Up 12% in a month, is there more to come from the Afterpay (ASX:APT) share price?
• What this leading broker thinks about Afterpay (ASX:APT) and Zip (ASX:Z1P) shares in July
• These 3 ASX 20 shares are up more than 60% in a year

Motley Fool contributor Sebastian Bowen has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended AFTERPAY T FPO, Altium, Pro Medicus Ltd., WiseTech Global, and Xero. The Motley Fool Australia owns shares of and has recommended AFTERPAY T FPO, Altium, Pro Medicus Ltd., WiseTech Global, and Xero. The Motley Fool Australia has recommended REA Group Limited, SEEK Limited, and carsales.com Limited. 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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Transurban Group (ASX: TCL) shares are enjoying some time in the green today after Macquarie Group Ltd (ASX: MQG) raised its price target on the company.

At the time of writing, the Transurban share price is trading at $14.62, up 1.46%.

Let’s take a closer look at what Transurban has been up to lately.

Transurban Group – what is it?

Transurban stands on the podium as one of the biggest toll-road operators in the world.

Its operations span across Australia and North America, with large interests in each country.

It has expertise in all things toll roads, including the financing, development and maintenance of new and existing toll-road networks.

The company also has adjacent interests in the research of road and vehicle safety.

After listing in 1996, Transurban Group now has a market capitalisation of around $40 billion. It recognised revenue of $1.4 billion in the first half of this calendar year.

Brokers upgrade Transurban share price target

According to Bloomberg, investment banking giant Macquarie Group increased its price target on the company to $15.20 this morning. This represents an almost 4% upside potential to the current share price.

Well before COVID-19, Macquarie had set a price target of $15.48 for the Transurban share price.

Bloomberg also reports that Jarden Securities Limited began initial coverage on the company today, assigning a price target of $14.80.

The Transurban share price continues its walk into the green this morning following the release of these two broker updates.

What else has Transurban been up to lately?

On 24 June, the company announced details of its FY21 dividend distribution and FY21 results.

In the release, Transurban outlined it would return 21.5 cents per share for the six months ending 30 June, bringing the total dividends paid for FY21 to 36.5 cents per share.

Back in May, the company also announced its subsidiary, WestConnex, had completed a $1.8 billion private placement to pay down an outstanding debt facility, to the tune of $1.2 billion.

Since these events in the company’s narrative, shares in the toll-road operator have snaked their way 3% into the green.

Transurban share price snapshot

The Transurban share price has posted a year to date return of around 7%, having also jumped by approximately 7% over the past 12 months.

These returns have lagged the S&P/ASX 200 Index (ASX: XJO)’s gains of ~12% this year, and ~23% over the last 12 months.

The post Transurban (ASX:TCL) share price jumps following broker upgrade appeared first on The Motley Fool Australia.

More reading

• Worst ASX 20 shares of the past year: CSL (ASX:CSL) makes the cut
• ASX 200 Weekly Wrap: COVID wobbles ASX as shares retreat
• 2 strong ASX dividend shares tipped as buys
• ASX 200 Weekly Wrap: ASX finishes FY21 on a high
• 2 quality ASX dividend shares with very attractive yields

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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The Ioneer Ltd (ASX: INR) share price is in positive territory during early afternoon trade. This comes after the emerging lithium-boron company announced a contract award for its wholly-owned Rhyolite Ridge Lithium-Boron Project.

At the time of writing, Ioneer shares are up 2.50% to an intraday high of 41 cents.

Ioneer progresses project development

Investors appear pleased with the company’s latest update, sending Ioneer shares slightly higher.

In today’s statement, Ioneer advised it has awarded FLSmidth a major engineering and equipment supply contract at Rhyolite Ridge.

Established in 1882, FLSmidth is a multinational engineering company based in Copenhagen, Denmark. The firm provides innovative engineering, equipment and service solutions to the global mining and cement industries. FLSmidth has over 10,700 employees operating in over 60 countries.

Ioneer stated that the contract was granted on a limited notice to proceed (LNTP) basis. This means that the supply of the equipment packages is conditional on a Final Investment Decision (FID).

Under the contract, FLSmidth will supply the majority of crushing and material handling equipment, including rotary lithium-carbonate and boric-acid dryers.

Ioneer highlighted that the latest developments represent a major step towards the construction of Rhyolite Ridge.

In addition, FLSmidth has engaged with Denmark’s Export Credit Agency (EKF) regarding potential financing options.

Ioneer managing director, Bernard Rowe welcomed the partnership, saying:

The contract with FLSmidth is one of the more significant supply packages we will award at Rhyolite Ridge and represents another step in the development of the Project.

FLSmidth is focused on providing environmentally sound engineering and technology solutions. This aligns with Ioneer’s ambition to not only produce materials necessary for electric vehicles and renewable energy infrastructure, but to do so in an efficient and environmentally responsible manner through lowered emissions, significantly reduced water usage and a small surface footprint.

FLSmidth mining president, Mikko Keto went on to add:

We are delighted to win this engineering order and we look forward to working with Ioneer as it progresses development of the Rhyolite Ridge Lithium-Boron Project. This contract provides clear recognition of our experience, know-how, and world class technologies for processing lithium…

Ioneer share price summary

Over the last 12 months, Ioneer shares have risen by more than 220%, and are up almost 50% in 2021. The company’s share price reached a 52-week high of 49 cents in mid-February, before going on a gradual decline.

At today’s price, Ioneer has a market capitalisation of roughly $780 million, and approximately 1.9 million shares on issue.

The post Here’s why the Ioneer (ASX:INR) share price is edging higher appeared first on The Motley Fool Australia.

More reading

• Here’s why Ioneer’s (ASX:INR) share price is climbing higher
• The Pilbara Minerals (ASX:PLS) share price smashes another record high
• Here’s why the Ioneer (ASX:INR) share price is charging 11% higher

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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The Berkeley Energia Ltd (ASX: BKY) share price has tanked more than 50% in early trade.

Shares in the energy company have tumbled after the company released an announcement earlier today.

The Berkeley share price was down more than 50% after hitting an intra-day low of 31 cents. At the time of writing shares in Berkeley have recovered slightly, to be down around 41% for the day.

Lets take a look at what Berkeley announced and why investors are dumping shares in the company.

Berkeley share price tanks on Permitting Update

Earlier today, Berkeley released a permitting update regarding the company’s proposed Salamanca uranium mine.

According to the release, the Spanish Nuclear Safety Council (NSC) issued an unfavourable report for the construction of the uranium concentrate plant as a radioactive facility, citing safety concerns.

Berkley expressed its disappointment in not receiving any official notification from the NSC. Instead, the company highlighted that the outcomes of the NSC board meeting were published on the regulator’s website.

Berkeley commenced the application process for approval of the Salamanca mine in 2016. The company highlighted that more than 120 previous permits and favourable reports have been granted for the project.

In the release, Berkeley noted that the company intends to defend its position and will immediately consider a range of legal options available.

Berkeley highlighted that the NSC is the only pending approval required to commence full construction of the Salamanca mine.  

More on Berkeley

Berkeley is a London-based, clean energy company that is listed on both the London and Australian Stock Exchange.

The company’s main operations have been focused on starting production at its wholly-owned Salamanca uranium project in Spain.

As noted previously, Berkeley has submitted more than 120 permits to bring its Salamanca mine into production.

Today’s permitting update was the last approval the company required to commence construction of the uranium concentrate plant and its classification as a radioactive facility.  

In 2016, a definitive feasibility study (DFS) showed that the Salamanca project had the potential for low-cost production. Production costs at Salamanca have been estimated at a total cash cost of US$15.06 per pound.

However, approval of Berkeley’s Salamanca mine has been controversial in the region due to the harmful environmental impacts.

The post Here’s why the Berkeley (ASX:BKY) share price is tanking today appeared first on The Motley Fool Australia.

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Motley Fool contributor Nikhil Gangaram 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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