Why is Lake Resources stock price up today?

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The Lake NL Resources (ASX: LKE) The stock price is in the green today after the lithium miner released its quarterly results for the three months ended June 30, 2022.

Lake Resources’ share price is trading up 2.8% at 79 cents at the time of writing, after hitting an intraday high of 84 cents in early trading.

Lake Resources share price rises over quarter

Key findings of the report include:

  • Lake Resources is continuing its discussions with the American company Ford Motor Company and that of Japan Hanwa Co Ltd for the extraction of lithium carbonate from its flagship Kachi Lithium Brine project in Argentina
  • The company is advancing its Definitive Feasibility Study (DFS) and expects final versions to be ready by the end of Q3 2022.
  • Discussions on supporting approximately 70% of the total financing required for Kachi production expansion continue with UK Export Finance (UKEF) and Export Development Canada (EDC)
  • Lake continues efforts for “multi-asset lithium expansion,” with a second drilling rig now at its Olaroz, Cauchari and Paso lithium brine projects in Argentina
  • The company aims to start production on its Kachi project in 2024.

What else happened during this period?

The company said its demonstration plant has arrived in Argentina and is being assembled before commissioning.

Lake says the modular design allows for a “plug and play” approach once the brine supply, power supply, and reagents are connected.

The demonstration plant will operate for approximately three to four months to produce lithium chloride. This will be converted into “battery-grade high-purity lithium carbonate”, ready to be sold to potential buyers.

The company also left the quarter with $173 million in cash on the balance sheet due to the $62 million option conversion in June.

Lake Resources Stock Price Overview

Over the past 12 months, Lake Resources’ stock price has posted an 84% gain, despite falling more than 22% into the red year-to-date.