Lithium party: Riversgold (ASX:RGL) share price surges another 41%


The Riversgold Ltd (ASX: RGL) share price closed up 22.2% yesterday.

Riversgold shares finished the day at 4.4 cents.

At the time of writing today, shares are trading for 6.2 cents. That’s another 40.9% intraday gain for Riversgold shares.

So, what’s driving ASX investor interest in the junior resource explorer?

Why are ASX investors hitting the buy button?

With no fresh news out today, the Riversgold share price looks to be leaping higher based on yesterday’s market announcement (covered here) reporting exceptionally strong assay results.

Not for gold, mind you.

But rather for lithium.

The ASX resource explorer acquired four lithium-prospective exploration tenements covering Western Australia’s Pilbara region earlier this year.

Yesterday Riversgold reported that rock chip samples from lithium-bearing pegmatite dykes along a 200-metre strike zone returned exceptional values between 1.5% Li2O (lithium oxide) and 2% Li2O.

Riversgold shares are heading higher again today, with investors potentially focused on the fact that the strike zone is part of a much longer 26 kilometre mineralised corridor, which has yet to be evaluated.

The explorer said crews will begin follow up reconnaissance work along the corridor and other priority targets next week.

Stay tuned.

With today’s big leap factored in, the Riversgold share price is now up a whopping 265% since the opening bell on 4 January.

By comparison, the All Ordinaries Index (ASX: XAO) is down 3.47% year to date.

Source: Read More

We’ve Already Come Too Far To End This Now.

Subscribe To Our Weekly Newsletter

Get notified about new articles