Magnis Energy Technologies Shares Bolt Higher on Battery Breakthrough
It’s been a peculiar couple of months for the energy sector.
On the one hand, oil and gas have been hit for six. Forced to slash prices dramatically as demand has dried up.
It has easily been one of the most dramatic repercussions of this pandemic.
However, those repercussions have opened up the doorway for a renewed energy debate. As well as the opportunity for new technology to come to the fore.
Case in point, Magnis Energy Technologies Ltd [ASX:MNS] — a company that is designing ‘next-generation’ lithium batteries. The MNS share price is trading 38% higher at time of writing thanks to new breakthrough battery technology.
Extra fast charge
As Magnis reports, one of their key partners has managed to yield a ‘potential game changer.’
Charge CCCV, based out of the US, have developed a battery that can charge to 85% capacity in just six minutes!
This isn’t just any battery either, we’re talking full-blown electric vehicle (EV) batteries. The kind that typically require up to several hours to reach full charge.
Furthermore, according to Magnis, these cells are still ‘unoptimised’ as well. Meaning they may be able to deliver an even more impressive result with more testing. Not to mention, they ensure that these batteries are more durable than most.
As Magnis Chairman Frank Poullas notes:
‘Fast charging is usually synonymous with batteries degrading quickly, however today’s results using an unoptimised cell are exciting and will improve further as the cell is optimised.
‘This news is highly encouraging for the global battery industry and for every EV manufacturer.’
Back on track
Crucially, for shareholders, this news has managed to snap Magnis’ year-long downtrend.
Despite a brief surge in January, the company has been sliding ever lower since last July. Now though, thanks to this breakthrough, the company is closing in on a fresh 52-week high.
Whether or not these gains are sustainable though, is the ultimate question.
But, if these batteries are as good as they make them out to be, then Magnis may be onto a real winner. This really could be the development that finally puts them into that next gear.
The timing couldn’t be better, either.
EVs are once again coming into the spotlight. You need only look at the incredible (or ludicrous) gains of Tesla to see that.
It is a trend that no investor can afford to ignore.
Indeed, even the lithium sector is sputtering back to life lately. A sector that was notorious for its 2015 bubble. Now though, it might be back in a big way.
You can read all about it in our ‘Lithium Bounce Back’ report. Which includes three stocks that could be at the centre of this new battery boom.
For Money Morning