Global Lithium flying

GLOBAL Lithium Resources has continued its incredible run since its 20c IPO in May last year, with the stock today going through the $2 mark.
Global Lithium flying Global Lithium flying Global Lithium flying Global Lithium flying Global Lithium flying

Global Lithum has been one of the hotter ASX resource stocks of late

Even those that took part in a $30 million placement announced this week are already circa 50% up (on paper) given the pricing of new shares in that case of $1.35 each.

They included established lithium/spodumene producer Mineral Resources, which invested $13.6 million for a 5% stake.

Global Lithium's Marble Bar asset currently has 10.5 million tonnes grading 1% lithium, while the recently 80% acquired Manna deposit near Kalgoorlie has an initial estimate of 9.9Mt at 1.14% lithium.

In return for that, a "strategic" offtake deal signed earlier this month and a heavyweight board - that is currently searching for a new managing director - the market has given Global a pro forma market capitalisation of circa $400 million, equivalent to an enterprise value of $360-370 million.

In midday trade today shares in Global were up 11% to $2.01.