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The DEXUS Property Group (ASX: DXS) share price has come under pressure on Friday despite the release of an announcement.

In afternoon trade the property company’s shares are down 1% to $9.60.

What did Dexus announce?

This afternoon Dexus released an announcement which revealed its expectations for its distribution for the six months ending 31 December 2020.

According to the release, the company is expecting to reward shareholders with a 28.8 cents per share distribution for the first half.

This represents a 6.6% increase on the prior corresponding period when Dexus paid out 27 cents per share to shareholders.

Dexus’ shares will trade ex-distribution for this on 30 December. After which, eligible shareholders can look forward to being paid this distribution on 26 February.

As things stand, the company’s reinvestment plan remains suspended and will not be in operation for its interim distribution payment.

What about the full year?

In addition to its first half distribution guidance, Dexus provided investors with an idea of what to expect for the full year.

Subject to there being no reinstatement of any major COVID-19 lockdowns or other unforeseen circumstances, the company is expecting an FY 2021 full year distribution that is consistent with FY 2020.

In FY 2020 Dexus paid a full year distribution per share of 50.3 cents. Based on the current Dexus share price of $9.60, this represents a generous forward 5.2% distribution yield.

Is the Dexus share price in the buy zone?

One broker that believes the Dexus share price is in the buy zone is UBS. At the end of October, it put a buy rating and $10.59 price target on the company’s shares. It advised that it was pleased with its better than expected operating performance so far in FY 2021.

The broker’s price target implies a potential return of approximately 15.5% over the next 12 months including distributions.

More reading

• 3 ASX REITs with notable ESG scores
• Dexus (ASX:DXS) share price flat despite pocketing $694 million from property sale

Motley Fool contributor James Mickleboro 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 1414 Degrees Ltd (ASX: 14D) share price touched a 52-week high today after a positive update on the company’s Aurora business case study.

Shares in the green energy company reached as high as 23.5 cents in early afternoon trade, but have since retreated to 20 cents, up 8.33% at the time of writing.

What 1414 Degrees does

1414 Degrees designs and develops thermal energy storage systems. The company primarily focuses on making large scale energy storage for networks and industries. It claims that its solutions fill a critical gap in energy storage.

Its technology includes a process that utilises silicon’s high melting point of 1414 degrees, enabling it to hold more energy than other materials. Thus its system holds energy created from renewables, and supplies both heat and electricity to its customers.

What happened today?

The company announced that its Aurora business case study has projected up to $60 million in annual net revenues.

The case study compared 1414 Degree’s Thermal Energy Storage System (TESS) with the National Electricity Market (NEM). The results were hugely positive as it found that operating TESS over NEM would provide roughly $20-30 million more in revenue.

To this end, the TESS system generated between $45-60 million in revenue, with the net earnings including the plant operating costs.

Moreover, the study indicated that the company’s system was increasingly favourable with energy storage. TESS is able to profit from both low and high price markets due in part to its flexibility at being able to use energy from the grid or solar panels when being charged.

It is worth noting that the larger 1GWh TESS is not scheduled until 2028 when pricing is more favourable.

About the 1414 Degrees share price

The 1414 Degrees share price has fallen 11.3% since the start of 2020. In comparison, the All Ordinaries Index (ASX: XAO) is up 1% for the year.

More reading

• Will ASX gold shares continue to shine in 2021?
• Why the Afterpay (ASX:APT) share price is surging higher today
• Crown Resorts (ASX:CWN) share price falls as Austrac calls junkets high risk
• Australian wheat exporters retreat amid trade dispute with China
• Brokers name 3 ASX shares to buy right now

Motley Fool contributor Daniel Ewing 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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For an innocent and rather attractive metal, gold certainly manages to stir up plenty of debate.

We can all agree the yellow metal’s had a fantastic 12 months, hitting new record highs above US$2,063 per ounce on 6 August.

On 11 December last year, an ounce of gold was worth US$1,474. Today that same ounce is worth US$1,838. While that’s down from the 6 August all-time highs, gold investors have still banked a 25% gain simply by owning bullion for the past year. Similar gains were delivered for investors holding gold-backed exchange traded funds (ETFs).

As you’d expect, most ASX gold shares rode the rally in gold prices, recording higher share prices.

But that’s the year behind. The one we can all agree on.

The hot debate now is what will 2021 bring for gold prices…and ASX gold shares?

Gold bulls

Daniel Pavilonis, senior market strategist at RJO Futures, is decidedly bullish on gold. As the Australian Financial Review reports, Pavilonis says:

We are not too far away from the highs, and once we start getting stimulus or a clearer picture of how this is all going to play out, gold and silver will continue to move higher.

Pavilonis is far from alone in his bullish outlook for bullion.

According to Livewire, Regal Funds Management CIO Philip King, sees “a lot more upside than downside in the gold price”. He also believes that, as investors eye the recovery trade, the recent sell-off in the gold price and leading gold shares is opening up some good opportunities.

His fund holds a number of ASX gold shares including Saracen Mineral Holdings Limited (ASX: SAR) and De Grey Mining Limited (ASX: DEG).

The De Grey Mining share price is up an eye-popping 1,950% since 2 January. (No, that’s not a typo.) De Grey shares reached an all time high of $1.55 on 18 September. Since then, the De Grey share price has fallen by 34%.

The Saracen Mineral share price has also dropped recently, down 26% since 9 November. Despite that retracement, Saracen shares are still up 39% year to date.

For comparison, the broader S&P/ASX 200 Index (ASX: XJO) is down 0.3% so far in 2020.

Gold bears

But not everyone agrees that gold will hold onto its shine in 2021 and beyond.

Like JPMorgan Chase & Co (NYSE: JPM).

As Bloomberg reports, JP Morgan forecasts that the growing popularity and price of cryptocurrencies like bitcoin will see less money invested in gold.

JPMorgan strategists, including Nikolaos Panigirtzoglou, wrote:

The adoption of bitcoin by institutional investors has only begun, while for gold its adoption by institutional investors is very advanced… If this medium to longer term thesis proves right, the price of gold would suffer from a structural flow headwind over the coming years.

The bank noted that, while in the short term bitcoin may be due for a correction and gold due for a lift, it’s bearish on gold longer term.

According to JPMorgan, the Grayscale Bitcoin Trust has seen inflows of almost US$2 billion (AU$2.7 billion) since October. As for gold-backed ETFs? They’ve seen outflows of US$7 billion.

It’s “just a guess”

Having heard from both the gold bulls and gold bears, we turn to Shane Oliver, the head of investment strategy and economics and chief economist at AMP Capital, a subsidiary of AMP Ltd (ASX: AMP).

Speaking at AMP’s webinar on Wednesday, Oliver said while he believes the returns from gold next year will be positive, it’s really anyone’s guess:

Like with bitcoin, I think gold will probably go up. It’s just that I think there are fundamentally sounder ways to play a global recovery than gold or bitcoin. Via more traditional industrial commodities or via share markets… Trying to project the returns [from gold or bitcoin] is just a guess. It could double in value, but it could also halve in value.

With Shane Oliver’s words in mind, investing in ASX gold shares carries a fair amount of risk, and the share prices of gold stocks tend to be volatile.

Of course, with year-to-date share price gains like the 1,950% delivered by De Grey Mining, some investors will be willing to stomach that volatility and risk in hopes of another outperforming year for gold.

More reading

• UBS just downgraded these outperforming ASX mining stocks
• 5 things to watch on the ASX 200 on Friday
• Saracen (ASX:SAR) and Northern Star (ASX:NST) shares on watch after merger update
• 5 things to watch on the ASX 200 on Thursday
• 5 things to watch on the ASX 200 on Wednesday

Motley Fool contributor Bernd Struben 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 Afterpay Ltd (ASX: APT) share price is on course to end the week on a very positive note.

In afternoon trade the payments company’s shares are up 5.5% to $101.55.

Why is the Afterpay share price charging higher?

Investors have been buying Afterpay’s shares on Friday after the release of an update on its Canadian operations.

According to the release, the company has partnered with top fashion and beauty retailers in Canada including SHEIN, Rains, Triarchy, and Clarins.

The company also revealed some shopping trends it is experiencing on its platform in the market. It advised that since the holiday season started in October, consumers are purchasing more sweaters, dresses and coats.

Afterpay is also seeing a spike in jeans, with sales in November 138% higher than in September. It believes this shows that consumers are craving normalcy through their wardrobes.

In the beauty category, fragrance has been revealed as the item at the top of consumers’ shopping lists for this gift giving season.

“Growing rapidly.”

Afterpay’s Head of North America, Melissa Davis, advised that the company’s buy now pay later platform is growing rapidly in Canada.

She said: “Afterpay is growing rapidly in Canada, especially among Millennial and Gen Z consumers, because our service helps young shoppers budget their own money and pay over time. In doing so, our retail partners benefit by attracting new, highly engaged young consumers – helping them increase sales, basket sizes and conversion during the most important retail season of the year.”

The release explains that the platform has helped customer conversion rates increase by more than 20% and average order values increase by more than 25% compared to all other payment methods.

Furthermore, last month Afterpay launched cross border shopping, which is providing its Canadian retailers access to its international network of young and engaged shoppers.

More reading

• 3 of the best ASX shares you can buy today
• Why the ASX tech share rally can run well into 2021
• 5 things to watch on the ASX 200 on Thursday
• Top brokers name 3 ASX shares to buy today
• Why Afterpay, Creso Pharma, Healius, & Resonance Health shares are storming higher

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of AFTERPAY T FPO. 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 Crown Resorts Ltd (ASX: CWN) share price is edging lower today following the release of a risk assessment carried out by the federal agency Austrac. The assessment reported that junkets pose a high level of criminal risk and harm to the community.

Austrac is the Australian government intelligence agency set up to monitor money laundering, organised crime, and fraud.

At the time of writing, the Crown share price has fallen by 0.82% to $9.68.

What’s pushing the Crown share price lower?

In an article published on its website, Austrac has reported that junkets used by casino operators cause “harm to our communities”, and that prompt action is needed by casinos to increase their control measures. 

Austrac went on to report that the risks associated with money laundering and terrorism financing arising out of junkets is high.

Austrac chief executive Nicole Rose said the casino sector has a responsibility to protect their businesses and the Australian community from criminal threats. She commented:

Money laundering and financial crime enables serious criminal activity such as drug trafficking and human trafficking, which causes harm to our communities.

The information contained in this risk assessment shows that junkets are highly vulnerable to criminal misuse, and Australian casinos must do more to mitigate risks. I urge casinos to take prompt action by assessing their levels of risk posed by junket operations, strengthening their controls and reporting suspicious activity to Austrac.

Crown’s troubles

Crown Resorts has been on the regulator’s radar after it was revealed the casino paid illegal junket operators to attract high rollers from mainland China. This has been been investigated by Austrac, and has led to an inquiry by the New South Wales Government. 

As reported in The Australian Financial Review, it’s been alleged that junket operators based in Macau and Hong Kong are suspected to have links with Chinese organised crime groups. Known as triads, they in turn are said to provide the junkets with money, protection, drugs, debt collection services and prostitutes.

In response to allegations, Crown has suspended all junket relationships until mid 2021. The ongoing inquiry into Crown’s dealings will decide whether the company is fit to hold a license in NSW. 

The opening of Crown’s Sydney casino has also been delayed until February 2021, pending the outcome of the inquiry.

How has the Crown share price performed in 2020?

The Crown share price has fallen by nearly 20% in 2020. Crown shares began the year at $12.04 before dropping to around $6 in March, as COVID-19 lockdown restrictions forced the closure of the company’s venues. The Crown share price has since recovered to today’s levels, but is still a long way off its 52-week high of $12.71.

The company currently commands a market capitalisation of around $6.6 billion.

More reading

• Here’s why the Crown (ASX:CWN) share price is pushing higher today
• Crown Resorts (ASX:CWN) share price is up 6% despite Fitch downgrade
• ASX 200 rises again on Monday
• Why the Crown (ASX:CWN) share price is dropping lower again today
• Why a2 Milk, Crown, Immutep, & Suncorp shares are dropping lower

Motley Fool contributor Eddy Sunarto has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Crown Resorts 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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Some Australian wheat exporters have made the unusual decision to hold back from selling grain to China, even though demand from the world’s second largest economy has increased.

“Obviously China is a big market but no one in their right mind would be selling to them and putting new business into that market because of what is happening with barley and other agricultural commodities,” Brett Donoghue, export manager of New South Wales-based grain marketer Agracom, told Reuters.

According to the Reuters article, a Chinese buyer who declined to be identified said China usually buys Australian wheat in the fourth quarter for shipment in January. But Chinese officials gave early warning the country would strengthen inspections on Australian wheat shipments, raising concerns of grain exports being rejected or stranded in China.

China’s demand for Australian wheat continues to increase

As highlighted in the Reuters report, although China is the world’s top wheat producer, it does not produce enough high quality low-gluten wheat to meet demand. Therefore China turns to Australian wheat to produce the flour used in the white, fluffy cakes that have become popular with the country’s middle-class community.

The Australian Bureau of Agricultural and Resource Economics and Sciences — the research arm of the Australian Government Department of Agriculture, Water and the Environment — released its Agricultural forecasts and outlook report in December. Chinese grain consumption is expected to increase by 2% to 302 million tonnes in 2021, according to the report.

Graincorp Ltd (ASX: GNC) steady amid trade tension

ASX-listed grain handler Graincorp is an agribusiness operating in more than 30 countries. It reports that its exports to China have not been disrupted by recent tensions between Australia and China. 

Graincorp CEO Robert Spurway told the Sydney Morning Herald (SMH) the company had very close ties with its Chinese customers and its grain was competitively priced in most markets, which acted as a natural hedge against volatility in the Chinese or any other export market.

With Graincorp seeing a good demand across the globe for wheat and other grain products, the company has implemented a global diversification strategy to mitigate geopolitical risks. Graincorp has almost doubled the number of its export markets to more than 50 over the past year.

“The company has moved from somewhere in the order of 30 markets 12 months ago, to more than 50 as we sit here today, and over 340 high quality customers. We have done a good job at broadening the number of markets we trade with and the size of our customer base,” said Robert Spurway (as quoted by SMH).

The Graincorp share price has increased by 17.2% to $4.43, year-to-date.

More reading

• Morgans picks the best ASX stocks to buy for 2021
• 5 things to watch on the ASX 200 next week
• Macquarie’s model portfolio of ASX stocks to hold in the post-COVID recovery
• Exciting ASX shares rated as buys by top fundie
• Why the United Malt (ASX:UMG) share price has lifted 4% higher today

Motley Fool contributor Miles Wu 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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Australia’s top brokers have been busy adjusting their estimates and recommendations again, leading to the release of a large number of broker notes this week.

Three broker buy ratings that have caught my eye are summarised below. Here’s why brokers think these ASX shares are in the buy zone:

Appen Ltd (ASX: APX)

According to a note out of UBS, its analysts have retained their buy rating and $44.00 price target on this artificial intelligence services company’s shares. This is despite the release of a trading update by Appen this week which revealed that it will fall well short of its guidance this year due to a weaker than expected fourth quarter. While this is disappointing, the broker expects Appen to bounce back strongly in FY 2021 when COVID headwinds ease. The Appen share price is trading at $25.48 this afternoon.

Aristocrat Leisure Limited (ASX: ALL)

A note out of Citi reveals that its analysts have retained their buy rating and $40.60 price target on this gaming technology company’s shares. The broker notes that Aristocrat has launched its Doom Tower game from the RAID Shadow Legends series. It has been pleased with the long-awaited release and notes that gamers have responded positively to it. It expects this to be a boost to its Digital revenues in FY 2021. The Aristocrat Leisure share price is fetching $30.01 on Friday.

BHP Group Ltd (ASX: BHP)

Analysts at Macquarie have retained their outperform rating and $46.00 price target on this mining giant’s shares. The broker has upgraded its iron ore forecasts and believes there could be significant upside should prices remain at spot prices for longer than expected. As things stand, Macquarie believes BHP is well-placed to deliver generous dividends over the near term. It is forecasting a ~$3.09 per share dividend in FY 2021 and a $2.78 per share dividend in FY 2022. Based on the current BHP share price of $42.93, this represents fully franked 7.2% and 6.5% yields.

More reading

• UBS just downgraded these outperforming ASX mining stocks
• 5 things to watch on the ASX 200 on Friday
• ASX 200 drops on Thursday
• Why the Adbri (ASX:ABC) share price has dipped in trading today
• Why the Appen (ASX:APX) share price is sliding 11% today

James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Appen Ltd. 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 mining stocks may be surging ahead, but UBS thinks some have run ahead of fundamentals and have downgraded the stocks.

The S&P/ASX 200 Index (Index:^AXJO) dipped 0.4% during lunch time trade although ASX miners are bucking the trend as another surge in the iron ore price boosted the sector.

The Fortescue Metals Group Limited (ASX: FMG) jumped 2.1% to a new record high of $22.98. The BHP Group Ltd (ASX: BHP) share price and Rio Tinto Limited (ASX: RIO) share price aren’t far behind with gains of over 1% each.

There’re reasons to think that ASX iron ore miners can build on gains as the iron ore market is likely to stay tight through 2021.

Downgraded after big run

But the same can’t be said for some base metal miners after their big share price rally.

“Optimism toward a global economic recovery in 2021 and rising EV [electric vehicle] penetration have driven very strong share price performance for our industrial metals coverage,” said UBS.

“While we remain positive on the commodity price outlook, strategic position, project execution and operating performance, we think in many cases these factors are now priced in.”

Worries about overstretched valuations prompted the broker to cut its recommendation on three outperforming ASX miners to “neutral” from “buy”.

Three ASX stocks cut to “neutral”

The OZ Minerals Limited (ASX: OZL) share price is one of the three as it’s trading at a more than 10-year high of $19.

Another is the Lynas Rare Earths Ltd (ASX: LYC) share price as it’s gained around 70% since the start of calendar 2020.

The third downgrader is the Sandfire Resources Ltd (ASX: SFR) share price. UBS noted that the stock has rerated strongly following the final investment decision at T3. Like the other two stocks, the SFR share price is trading inline with the broker’s valuation and the risk-reward is balanced.

Top ASX base metal mining stock to buy

But this doesn’t mean there aren’t buying opportunities in the sector. The IGO Ltd (ASX: IGO) share price is UBS’ top mining pick even as shares in the nickel and lithium miner surged 23.8% to $6.29 in afternoon trade.

“IGO is trading at the largest discount to our NPV in our industrial metals coverage and is our top pick,” added the broker.

“The strategic move to buy into Greenbushes lithium and sell Tropicana might drive renewed interest in its exposure to electric vehicles.”

ASX gold miners on the “buy” list

UBS’ other key picks in the sector are gold miners. Importantly, these ASX gold miners offer production growth, quality assets and strong free cash flows.

The gold stocks the broker is urging you to buy are the SSR Mining Inc CDI (ASX: SSR) share price, Newcrest Mining Ltd (ASX: NCM) share price and Saracen Mineral Holdings Limited (ASX: SAR) share price.

More reading

• Why CSL, Lovisa, Lynas, & Syrah shares are dropping lower
• Why the Eagers Automotive (ASX:APE) share price broke its all-time record today
• ASX 200 down 0.3%: CSL sinks, Zip’s Facebook deal, IGO rockets
• Why Eagers Automotive, IGO, Marley Spoon, & Zip shares are charging higher
• Aussie dollar breaking to new 30-month high will boost these ASX stocks

Motley Fool contributor Brendon Lau owns shares of BHP Billiton Limited, Lynas Limited, Newcrest Mining Limited, OZ Minerals Limited, and Rio Tinto Ltd. Connect with me on Twitter @brenlau.

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.

Motley Fool contributor BrenLau owns shares of BHP Billiton Limited, Lynas Limited, Newcrest Mining Limited, OZ Minerals Limited, and Rio Tinto Ltd. 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 iCandy Interactive Ltd (ASX: ICI) share price is surging 6.7% higher today after the company announced its game Masketeers reached $1 million in revenue. The news sent the iCandy share price flying nearly 17% higher to 17.5 cents before a retracement to its current level of 16 cents.

Shares in the online gaming developer have also soared in recent months, gaining 700% since the start of September.

What happened?

Just after market open this morning, iCandy announced that its “smash-hit” game Masketeers has reached the milestone level of revenue. In the process, the game has also become the fastest in iCandy’s history to reach the $1 million mark, taking only 63 days.

This easily surpassed the 9 month record the company’s previous game took to reach the same level.

Financial boost

It’s worth noting that the Masketeers revenue was not reflected in the company’s most recent half yearly report and will be added to iCandy’s next full year report. This is relevant as the company is now on target to smash past its previous annual revenue total of $2.2 million. As of its most recent half yearly report, iCandy’s revenue stood at $1.03 million. In today’s update the company advised that:

As such iCandy’s half-year revenues and Masketeer’s revenues for its current financial year would surpass prior financial year’s revenues, before revenues from other games in the second half of the current financial year.

What now for the iCandy share price?

With Masketeers currently only available in English, iCandy is aiming to continue its success by translating the game into more languages. Masketeers is currently available in over 70 countries.

To this end, the company will continue with its plans to role out the game into China as management sees this market as particularly lucrative. China recorded over US$36.5 billion in gaming revenue in 2019.

Furthermore, with COVID-19 providing structural tailwinds (more people staying home), the company plans to double marketing spend to capitalise on arising opportunities.

It will be interesting to watch how the iCandy share price performs as the company’s expansion plans roll out.

More reading

• Vulcan (ASX:VUL) share price rises 20% and breaks new record. Here’s why.
• Forget gold and Bitcoin. I’d use the stock market crash to buy cheap shares to get rich
• Why CSL, Lovisa, Lynas, & Syrah shares are dropping lower
• THC Global (ASX:THC) share price lifts on push into cannabis market
• Up over 800% this year, the Element 25 (ASX:E25) share price slips on progress report

Motley Fool contributor Daniel Ewing 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 Vulcan Energy Resources Ltd (ASX: VUL) share price rocketed up 20% to a new all-time high of $2.83 in early trade today. This comes after the lithium producer announced new regulations from the European Commission into lithium-ion battery production.

While the All Ordinaries Index (ASX: XAO) is down 0.17% at 6,905 points, the Vulcan share price is breaking new ground, currently trading up 15.3% at $2.71.

What’s driving the Vulcan share price to new highs?

As global attention turns toward climate change, the European Commission has proposed new mandatory requirements on carbon footprints from lithium miners. Vulcan says this will complement the company’s aim to become the world’s first zero carbon lithium producer.

From 1 January, 2026, all lithium-ion batteries in Europe will include a carbon intensity performance class label. Following the change, if companies do not meet the maximum carbon footprint threshold, they will not be able to operate in Europe. The ban will come into effect from 1 July 2027.

In light of this, manufacturers will have to demonstrate to authorities that the raw materials sourced, are done so in an environmentally friendly way. This will be conducted through a third party which will use a digital passport tracking of the battery materials used in each battery product.

What did the CEO say about the new regulations?

Vulcan CEO Francis Wedin welcomed the European Commission stance, saying it was “a major endorsement of Vulcan’s Zero Carbon Lithium strategy”:

Decarbonisation, responsibly sourced lithium and renewable energy are the foundation of Vulcan.

Our early adoption of this strategy gained EU support and puts us at the forefront of the lithium sector where companies will have to adapt to the rapidly evolving global aims of decarbonisation in the production process and responsibly sourced materials. With our PFS due shortly we go into 2021 knowing that our project, process and product, to produce battery quality lithium hydroxide for electric vehicles in Europe for the European market with net zero carbon footprint, will be strongly supported by EU regulations.

We are the only lithium project globally which is being developed to have a zero-carbon footprint, we have the largest lithium resource in Europe and own the trademark Zero Carbon Lithium which can be licenced to battery manufacturers and OEMs using our product.

About the Vulcan share price

The Vulcan share price has been on an upward trajectory over the past year. Shareholders who bought into the company at the start of the year would be sitting on gains of more than 1,800%. That means if you invested $1,000 in January, the value of your shares would now be worth more than $18,000.

More reading

• Why ‘ASX dividend king’ Soul Patts (ASX:SOL) is a top income share for 2021
• The Archer (ASX:AXE) share price lifts on partnership deal
• S&P Global set to launch world’s first cryptocurrency index
• Why the MSM (ASX:MSM) share price has gone gangbusters again
• ASX small caps could get a boost with the Aussie dollar hitting 28-month highs

Motley Fool contributor Aaron Teboneras 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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