Logan Copper Inc. (CVE:LC) (PINK:LCZZF) stock price shot up after the company announced to have bought a graphite property in Quebec.
LC stock price gaped up 66.7% on Tuesday. An increased interest from traders generated 3.6 million in trading volume which was significantly above the 90 day average turnover of just 269 thousand.
The company announced on April 25, they have acquired nearly 3.3 thousand acre graphite property in Quebec. The Mayo property is fully owned by Logan with no net smelter royalties attached. It is 80 kilometers away from a producing Stratmin graphite mine. Another, past producing mine called Bell Graphite, is 4 kilometers away. The prospects of good findings are thus rather significant because of the placement alone.
The company will now need to pursuit financing since their last reported liquid capital holding don’t even add up to $100 thousand. However, it’s good that the business doesn’t have significant outstanding obligations either.
Their market cap is very low compared to the reported net book value, thus the purchase of additional property could open a way to increase this value. The price could easily triple from the current levels if the company would do a significant funding round.
