Piedmont Lithium soars after confirming Tesla deal

28.9.2020, 14:57 - eeppo

Shares in Australian junior Piedmont Lithium (ASX: PLL) climbed almost 84% on Monday in Sydney after it confirmed it had signed a sales agreement with Tesla to supply the electric cars maker with high-purity lithium ore mineral for up to ten years.

Piedmont had accidentally released the announcement last week, following the hyped “Tesla Battery Days”, but the Australian Stock Exchange said it would not publish it then.

The initial five-year agreement will see Piedmont supplying about a third of its planned 160,000-tonnes-per-year spodumene concentrate produce from its deposits in North Carolina. Both companies can then extend the deal for another five years.

Piedmont shares climbed as much as 90% to A$0.285 intra-day on the ASX, a 13-year high for the company. They closed at 0.28, leaving the company with a market cap of A$124.86 million

More to come…