Insights

We have lift-off: Vulcan Energy (ASX:VUL) share price hits new heights

The Vulcan Energy (ASX: VUL) share price reached new all-time highs again today with its ninth consecutive day in the green!
The post We have lift-off: Vulcan Energy (ASX:VUL) share price hits new heights appeared first on The Motley Fool Australia. –

asx share price surge represented by hand holding rocket taking off

For their ninth consecutive trading session, Vulcan Energy Resources Ltd (ASX: VUL) shares are pushing higher. Upon opening this morning, the Vulcan share price raced to an all-time high of $14.20, up 57%. Vulcan is now catching its breath, with the company’s share price retreating to $10.36 at the time of writing, up 14.6% for the day.

The lithium focused mineral exploration company must have set a new year’s resolution – in true #newyearnewme fashion. It appears Vulcan is adhering to a strict, greens-only diet, with not a single red day of trading so far this year. Although, the abundance of green in 2021 is not exclusive to Vulcan.

Lithium glow up

It seems lithium is having its time in the sun. Continued demand for its use in electric vehicle (EV) batteries, a new Biden presidency, and government environmental mandates have all contributed to the lift in lithium prices of late.

China carbonate prices are at 14-month highs, as reported in Friday’s Fastmarkets Metal Bulletin global lithium wrap. Additionally, battery-grade lithium hydroxide gained 10.3% week over week as a result of the low availability of cheap materials.

Lithium miners regaining lustre

We have all seen the rapid growth in many EV shares abroad in the last six months. Tesla Inc (NASDAQ: TSLA) shares are up 655%, Nio Inc (NYSE: NIO) is up 339%, and Xpeng Inc (NYSE: XPEV) is up 125%. However, until recently many lithium mining shares lagged their offtake partners.

The weighing lithium price suppressed many lithium mining companies from achieving similar returns during this boom in recognition of the vehicle electrification trend.

However, now with the supportive commodity price, the market has rallied behind such companies. Other than the rise in the Vulcan Energy share price, there are also other examples of surging valuations among ASX lithium producers.

Vulcan share price, in good company

Although no other lithium miner/explorer/producer registers on quite the same level as the Vulcan share price performance, there are a few honourable mentions.

The Galaxy Resources Limited (ASX: GXY) share price, for instance, has appreciated 136% in the last 12 months. Its $1.41 billion market capitalisation makes Galaxy one of the biggest lithium producers on the ASX. Reportedly, the miner is now even examining the potential to ramp up its Mt Cattlin lithium mine to full capacity to capture the value in the higher commodity prices.

Pilbara Minerals Ltd (ASX: PLS) has returned a sturdy 220% in the last year. The Australian lithium producer has taken advantage of its recent strength by seeking to acquire Altura Mining Limited (ASX: AJM). The company is eying off capturing the continued lithium demand by broadening its explorations through the acquisition.

Piedmont Lithium Ltd (ASX: PLL) has notched up an impressive one-year return of 317%. Prior to late September last year, the Piedmont share price was trading at around 10 cents, then it all changed with one announcement. The United States-based lithium miner obtained a supply agreement with Tesla for its spodumene concentrate. Since then, the company has gone on to pen a deal with the Canadian miner Sayona Mining Ltd (ASX: SYA) to acquire the greater of 50% or 60,000 tonnes per annum of spodumene concentrate from Sayona. 

Falcon 9 or Starship for this Vulcan share price rocket?

As we all know, when it comes to New Year’s resolutions, often they get broken after the first month. The question is, when will the green streak break for the Vulcan share price?

More pressing, when it does, will it make a gracious reverse onto a stable platform – primed for its next launch? Or will it starship – dropping out of the air to crash in fiery flames?

Only time will tell, as shareholders await the company’s definitive feasibility study, following the recent release of its positive Pre Feasibility Study.

Where to invest $1,000 right now

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes are the five best ASX stocks for investors to buy right now. These stocks are trading at dirt-cheap prices and Scott thinks they are great buys right now.

See The 5 Stocks

*Returns as of June 30th

More reading

Mitchell Lawler owns shares of Tesla. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and recommends Tesla. 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.

The post We have lift-off: Vulcan Energy (ASX:VUL) share price hits new heights appeared first on The Motley Fool Australia.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Share on facebook
Share on twitter
Share on linkedin

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;


To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.


An active and funded account with a positive trading balance is required to continue to have access to the tools;


Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;


Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
iOS & Android App - 12 International Markets & Over 70% Global Market Cap. $0 Brokerage On US Trades. Click Here!