European Lithium Ltd (OTCMKTS:EULIF) Stock Sees Selling Pressure At Higher Level

The lithium industry is nowadays in considerable focus among a large number of investors and for good reason too considering the wide range of applications in several industries.

Market Action

On Tuesday, EULIF stock ended flat at $0.0808 with 480 shares, compared to its average volume of 19K shares. The stock has moved within a range of $0.0808 – 0.0808 after opening trade at $0.0808.

European Lithium marks another key milestone with cooperation and offtake partnership MoA for Wolfsberg Lithium Project

Yesterday, European Lithium Ltd (OTCMKTS:EULIF) was in significant focus after it announced that it had inked an offtake and cooperation partnership with the company Traxys Europe SA. By way of this agreement, the company is going to collaborate on the building of the Wolfsberg Lithium Project, located in Austra. While it is true that it was a major development for the company, the news did not lead to any major move in the European Lithium stock.

As a matter of fact, the stock has actually been one of the laggards over the course of the past week and has tanked by as much as 11% during the period. In this regard, it is perhaps also necessary to point out that the company signed a Memorandum of Agreement of a multi-tiered nature with Traxys.

On the other hand, investors need to note that at this point in time, Traxys is going to have an exclusive arrangement with the company up until the end of Q1 2022, following which it could take up the option of finalising the offtake agreement.

Key Quote

European Lithium’s chairman Tony Sage said: “Finalising an offtake agreement is another key milestone for the company and will add to recent developments at the Wolfsberg Project.

“In the current high lithium price environment, partnering with Traxys and leveraging their expertise will achieve the best result for shareholders while the company retains flexibility.”

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