The Sovereign Metal’s share price soared on Friday after the company halted trading in their ASX listing pending an announcement relating to the minerals resource estimate at their Kasiya titanium rutile project.
Sovereign Metals shares were up nearly 20% at 39.9p at the time of writing on Friday.
Sovereign Metals controls the globally significant Kasiya titanium rutile project located in Malawi which is the second largest titanium rutile resource in the world.
Sovereign’s shares listed on the ASX have been halted for a short period until an announcement is made to the market regarding the Kasiya resource, or the start of trade on the ASX 5th April. Trading in Sovereign’s AIM listing remains unaffected.
The development comes shortly after Sovereign said they had enjoyed a ‘spectacular’ increase in the project’s mineralisation envelope.
Sovereign Metals alluded to ongoing studies at the UK Investor Magazine Metals & Mining Conference 22nd February and today’s announcement may be related to the results of those studies.
Sovereign Metals shares have gained steadily since their lows in February and with shares trading at 39.9p, the stock is now up 81% since the closing low of 22p.
The scarcity of titanium rutile assets and growing demand for titanium from companies such as Airbus is creating the perfect conditions for shareholder value creation.
Sovereign Metals Graphite
In addition to their world-class titanium rutile resource, the Kasiya project contains high levels of graphite. The significance of Sovereign Metals graphite exposure was demonstrated by their inclusion in a roundtable presentation to the Critical Minerals Parliamentary Group at the Houses of Parliament.
The Sovereign team highlighted the value of graphite in the supply of renewable energy at the roundtable and how the Kasiya project would produce graphite in a manner that reduces emissions by 80% when compared to graphite production at a mine in China.
“The importance of sustainable supply chains for clean-tech solutions such as lithium-ion battery powered electric vehicles cannot be underestimated,” said Sovereign Metals Chairman Ben Stoikovich.