The parabolicPilbara Minerals Ltd(ASX: PLS)share price has added 23% in the past week to a fresh all-time high of $2.46 on Wednesday.
Perhaps what’s more impressive is the fact that Pilbara Minerals shares have doubled in just over three months, from $1.21 on 27 May.
Good news keeps piling up
The Pilbara Minerals share price continues to leverage the bullish news for the lithium sector and spot prices.
A major catalyst for the lithium sector last week was President Joe Biden’s executive order, targetingat least half of all new vehicles sold in the United States to be electric by 2023.
The Pilbara Minerals share price rallied 10.95% on Tuesday in wake ofbullish commentary for the lithium sector from JPMorgan.
The broker upgraded all the ASX 200 lithium shares under its coverage to an overweight rating, citing a significant supply-demand imbalance in the medium-term and upgrading its long-term lithium spot price forecasts.
A bigger theme at hand
The surging Pilbara Minerals share price could play into a much bigger thematic, that is climate change.
In the words of theEureka Report’s Alan Kohler, “It’s not often an investing theme comes along that is both certain and certainly huge, but we’ve got one right now. The theme is climate change, or more specifically, the transition to a zero-carbon world.”
The International Energy Agency’sworld energy outlook 2020cited that, “A structural transformation of the energy sector will require massive investment in new, more efficient and cleaner capital stock. Drawing on the IEA Sustainable Recovery Plan, the Sustainable Development Scenario (SDS) sees a near-term surge of investment in clean energy technologies over the next ten years.”
Going back to Pilbara Minerals, the company has signed a number of offtake agreements with leading players in the renewable technology space including Gangfeng Lithium and CATL.
R E S O L U T E - The Spirit of Australian Lithium.
PLS - CXO - SYA
