Guess what ASX lithium share skyrockets 25% on new high-quality discovery

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ASX Lithium Small Cap Stock St George Mining Ltd (ASX: SGQ) sets the bar high today.

Following the announcement of high-grade lithium results, St George Mining’s share price rose 25% in morning trading.

Here’s what the ASX lithium share reported.

What is driving investor interest in ASX lithium stock?

St George Mining’s share price is soaring after the miner reported rock chip analyzes confirming the presence of up to 2.7% Li2O at its Mt Alexander joint venture project, located in Western Australia.

The analyzes are from the first batch of 10 selective rock chip samples from ASX lithium submitted for laboratory analysis.

St George holds a 75% interest in the project area and is the project manager. mining giant IGO Ltd (ASX:IGO) owns the remaining 25%.

In addition to confirming the presence of high-grade lithium at the site, the ASX lithium share appears to benefit from the report that its field mapping has identified a “significant extension” of outcropping pegmatites containing visible lithium minerals.

The high levels of cesium, tantalum and rubidium returned in the results are also often associated with large lithium deposits at depth.

Commenting on the analyses, St George Mining Executive Chairman John Prineas said:

The grades and scale we observe seem to confirm that we are exploring a very promising pegmatite-hosted lithium mineral system in its early stages of evaluation.

Our lithium-bearing pegmatites are located in the same corridor parallel to the Copperfield Granite where Red earth metals (ASX:RDT) announced significant lithium discoveries and signaled a first mineral resource on hold. Zenith Minerals (ASX: ZNC) also announced on October 11, 2022 the start of drilling for potential pegmatites on its Mt Ida North Lithium Project, northeast of our lithium pegmatites.

Further rock and soil chip sampling analyzes are pending, and St George aims to begin drilling later this month or early November.

St George Mining Share Price Overview

Despite today’s big jump, the ASX lithium share remains down 30% in 2022. This compares to a 14% year-to-date loss posted by the Index of all ordinaries (ASX: XAO).

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