AVZ Minerals Ltd. – AVZ.AX

AVZ Minerals Shares – A Highly Speculative, China Backed Lithium Stock“. This was the headline as of September 27, 2018 by MF & Co. Asset Management. Five months before, on April 23, 2018, The Motley Fool wrote: “The Avz Minerals Ltd share price won’t be going anywhere on Monday after being halted from trade for the fourth time in less than a month“. On 21 May 2019 ASX informed: “The securities of AVZ will be placed in trading halt at the request of AVZ, pending it releasing an announcement”. On 23 May 2019 AVZ has put out a study “5 Mtpa Scoping Study Further Strengthens the Economic Potential of the Manono Lithium & Tin Project“. The share price nearly doubled from a level of 0,044 to 0,085 AUD. This study was promoted by Stockhead.

The price rally of AVZs’ shares over the time shows a clear, pushed peak in January 2018. And now? Will we have a revival?

share price, AVZ Minerals
AVZ Minerals share prices, Source: ASX Charting

A look at the balance sheet for the half year ended 2018 offers a poor situation. Even if AVZ has invested 64,7 Mio AUD in exploration and evaluation, the assets for property, plant and equipment amounts to 1,2 Mio AUD only. Since AVZ operates as an explorer, no production and no revenue are existing.