The Tyranna Resources Ltd (ASX: TYX) share price has had a cracking week, up 53% since market close on 5 September.
Shares in the ASX mineral explorer are certainly outpacing the 6.04% gain in the S&P/ASX 200 Materials Index (ASX: XMJ) over the same period.
And Tyranna is also outperforming its peer group. Cannindah Resources Ltd (ASX: CAE) is up 6.82% while Bougainville Copper Limited (ASX: BOC) is 3.23% higher.
Tyranna shares hit an all-time high of 6.7 cents apiece shortly after market open today and are currently trading 10.71% lower at 5 cents a share.
While there are no announcements from the company today, some significant developments have accompanied the surge in the Tyranna share price. Let's investigate.
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ASX Lithium shares are surging
On 22 August, the company reported "outstanding results" from its Namibie lithium project in Angola, Africa.
Tyranna executive director Paul Willams said:
We are very excited by these results which provide further encouragement and confirmation that the Namibe Lithium Project contains substantial high grade spodumene mineralisation and justifies Tyranna's acquisition of what is proving to be a valuable project. We have defined a larger drill-target area at the site known as 21n, and these results in particular provide further confidence in designing our maiden drilling program. We are looking forward to the next phase of exploration to test these areas at depth.
Meanwhile, ASX lithium shares, on the whole, are surging amid upgraded analyst price targets for the element.
Today, Bell Potter lifted its lithium price targets through to 2024. It expects prices to be underpinned by strong demand and slower-than-expected supply increases. It commented:
Over the next five years, growth in Australian supply will at best meet only one third of total growth in lithium demand.
Analysts also see no slowdown in demand for electric vehicles (EVs).
Certainly, ASX lithium shares are benefiting from the boosted sentiment, with one commentator dubbing lithium stocks "the buy now, pay later of 2022".
Nabtrade's Gemma Dale said it seemed lithium shares are "the one[s] that everyone wants a piece of when the market is not that exciting," as reported by The Age.
Certainly, the current market enthusiasm for lithium is doing Tyranna shares no harm.
Tyranna share price snapshot
The Tyranna share price is up 643% year to date and 940% in the past 12 months. Meanwhile, the S&P/ASX 200 Index (ASX: XJO) is down 5.8% and 5.6% over the corresponding periods.
The company's current market capitalisation is $122 million.
