LU7 hold the line

Lithium Universe‘s share price has more than tripled since debuting on the Australian Stock Exchange a little under a fortnight ago. The fact that Iggy Tan’s comeback venture has withstood a challenging market could be down to some good timing, but look closer, and you will see it is more than just good luck. 

In Canada’s James Bay lithium centre, LU7 initiated its Apollo project with a commitment to sink $4.5 million raised during its IPO to the ground.  

Spirits ran high following the long-awaited return of Tan and his ambitious plans to bring his Apollo lithium venture into production as quickly as possible. 

Opening trading with a modest $12 million market cap and shares at 2 cents apiece, buyers lined up, lifting the stock 185% to close at 5.7c on the first day.   

But unlike so many shooting stars of late, LU7 shows few signs of cooling in these bearish times. By the end of its first week of trading, shares had peaked at 6.6c and continued to hold the line 13 days later. 

Could this be just down to impeccable timing? 

In the weeks leading up to LU7’s debut, big hitters Allkem, Patriot Battery Metals, and Cygnus Metals had already announced jaw-dropping estimates, generating a ‘Super-Pumped’“ market. 

But Market Open analyst Mansoor Jan says LU7 investors have moved on from the hype and focused on the land package’s correct geological structure and proximity to Patriot and other world-class projects in areas with significant lithium deposits. 

“Apollo’s fundamentals stack up extremely well alongside its famous peers on the Greenstone belt,” he explains. 

“Apollo’s 24,000 hectares of land across a Greenstone Belt with 17 known pegmatite occurrences and a medium-low gravity signature. If you compare Apollo with Winsome’s Adina, which had only two events with similar gravity-low signatures at the start of its exploration program, its unique value becomes apparent.” 

But It’s not only the fascinating mineralogy that makes LU7 stand out. Tan’s “Dream Team” is a field of unrivalled expertise and wear-with-all to build and operate a lithium production business successfully. 

Iggy and his team are early pioneers in a rapidly developing sector. Each member holds an impressive resume, with ample experience in developing greenfield projects into successful lithium-producing operations. They are also instrumental in expanding Australia’s most prominent lithium production. 

The team knows how to get things done, having already obtained all necessary work permits and having consultants and contractors lined up to carry out their plans. 

According to CEO Alex Hanley, the high support level enables Apollo to advance swiftly.  

“The company’s vision is clear, and we plan to move quickly at Apollo while assessing opportunities within the broader environment within James Bay aligned with the country’s critical minerals strategy,” Hanly says. 

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