Mad scramble for shares of Canadian lithium junior

Critical Elements Corporation (CVE:CRE) soared more than 17% on Thursday on massive volumes without fresh news explaining investors' frenzy for the stock.

By early afternoon the Montreal-based explorer was trading up 17.4% at $0.135 on the Toronto venture board, near its highest for the day.

Around 3 million shares in the $16 million company had changed hands by 1:30 pm EST on Thursday compared to the daily average of just 164,000.

Critical Elements’ Rose Tantalum and Lithium project in northern Quebec is one of just five hard rock deposits worldwide with purity ratings of 99.9% which makes it suitable for lithium ion batteries.

A bankable pre-feasibility and technical report for the Rose mine and processing plant is expected soon and the company has already signed a pre-development deal with the local Cree first nation.

The Rose project should come in at a cost of roughly $280 million to $300 million and could be in production as early as next year with a mine life of 17 years.

Critical Elements' peer Canada Lithium Corp (TSE:CLQ) this week announced first sample production from its Quebec facility.

SEE ALSO: Painting a rosy picture of lithium and tantalum