Mining penny stocks are fluctuating today. There’s Lithium Chile (TSXV:LITH), which is trading up 1.85% on no news. There’s MGX Minerals (CSE:XMG), which is trading down 2.15% on news that its joint venture partner is no longer drilling at a lithium project in Chile.
Then there’s Standard Lithium (TSXV:SLL), trading down nearly 5%, twenty-four hours after disclosing reassuring news.
Even though this is a pattern mining penny stocks often take, what gives?
Mining Penny Stocks: Keying in on Standard Lithium
Based in Vancouver, British Columbia, Standard Lithium is involved in exploration and the development of lithium brine properties throughout the United States. This includes California, Texas, and Arkansas.
The latest announcement from the company came on Wednesday, December 12th. It was then the Canadian mining company announced that it completed the commissioning process for its prototype crystallization pilot plant.
Standard Lithium added that it produced its first quantity of high purity lithium carbonate. On the news, shares of Standard Lithium went unchanged.
Most mining investors know that lithium is a hot commodity and that Standard Lithium is a company that focuses on US-based lithium brine resources and bringing them into production. And the company seems to be moving at a decent pace when it comes to achieving these goals.
But today the Standard Lithium stock is telling a different story. Down nearly 5%, is it because mining penny stocks often fluctuate, or does it indicate investor skepticism?
Standard Lithium Stock Price
According to Yahoo Finance, as of 1:51 PM, Standard Lithium is trading at $0.95, which means it is down 3.06%. The company trades in a 52-week range of $2.61 and 80 cents.
Thursday’s decline likely has to do with mining penny stocks being volatile and not because of investor skepticism. After all, the company is doing major things.
Check back in next week for more penny stock news!
Featured Image: depositphotos/pinkblue