Anson’s shares jumped after a key announcement before the market open today
The post Anson Resources (ASX:ASN) share price leaps 12% on US project news appeared first on The Motley Fool Australia. –
The Anson Resources Ltd (ASX: ASN) share price has jumped into the green during today’s session. At the time of writing, Anson shares are swapping hands for 8.4 cents, a gain of 12%.
Today’s gain comes as Anson announced a key update to its Paradox brine project to the market.
Quick refresher on Anson Resources
Anson is a minerals exploration company that has particular interests in lithium, zinc, lead, and gold assets, among a list of other minerals.
It has several projects dotted around Australia and abroad, such as the Paradox brine project in Utah in the United States, and the Bull nickel-copper-PGE project in Western Australia.
Anson has a market capitalisation of $67 million at the time of writing.
What did Anson announce?
Anson revealed it had entered into a collaboration with TETRA Technologies at the Paradox brine project.
The Paradox brine project is a collection of claims and leases owned by the US and Utah governments, coupled with other local municipality agreements.
Henceforth, Anson confirmed the pair had signed a memorandum of understanding (MOU) to progress development at the site, including potential investment by TETRA.
The MOU effectively establishes a “framework of discussing options to work together” in order to “jointly develop” the Paradox site.
Both parties can now “negotiate an off-take agreement”, in addition to the economics of TETRA’s “patented process technology”.
TETRA is a “global leader in the production of bromine derivative products”, according to Anson. These products are used in “a number of applications including oilfield completion services and zinc-bromide energy storage batteries”.
Investors seem to have embellished the collaboration and have immediately rewarded Anson shares as a result of the news.
Anson Resources share price snapshot
The Anson Resources share price has delivered outsized returns over the year to date, posting a return of 178% since January 1.
This extends the previous 12 month’s return of 317%, which has far outpaced the broad index. The S&P / ASX 200 Index (ASX: XJO) has seen a return of about 26% over the same time.
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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.