Shares of NioCorp Developments Ltd. (TSX: NB) soared by as much as 26.9% during Tuesday’s trading session on nearly eight times the stock’s daily average volume. By noon ET, the stock was trading at C$1.74 a share on the TSX, for a gain of 20.0%.
NioCorp is currently developing a superalloy materials project in southeast Nebraska that will produce niobium, scandium and titanium, all of which are considered “critical” by the US government.
According to the company, its project located near Elk Creek will be highest grade niobium project in North America, as well as one of the largest prospective producers of scandium in the world. At the moment, no other similar projects exist in either US or Canada.
Earlier this month, NioCorp announced the initiation of testing of Elk Creek ore using high-pressure grinding rolls (HPGR) technology. HPGR is considered an energy efficient and low-emission alternative for reducing the size of the ore to enable the recovery of niobium, scandium, titanium and potential rare earth products.
The use of HPGR in the project reinforces the company’s commitment to the environment and designing a sustainable operation, NioCorp said in the June 9 press release.
Update: NioCorp has since put out a release stating that it is not aware of any material changes related to the company that would account for the increase in market price and trading activity.