The past week has been quite tough for Western Magnesium Corporation (OTCMKTS:MLYF) considering the fact that its stock suffered from a major selloff and ended up with a decline of as much as 14%. While it is true that there was no news about the company yesterday, Western Magnesium had actually been in the news on Wednesday when it made a key announcement.
On Thursday, MLYF stock moved down 2.24% to $0.24 with more than 111K shares, compared to its average volume of 231K shares. The stock moved within a range of $0.2369 – 0.2630 after opening trade at $0.2630.
Western Magnesium Receives Inspection Approval
At the time the company announced that it had got the final engineering field inspection approval that had actually been conducted last week at Western Magnesium’s commercial pilot plant. In addition to that, it was also noted that inspections of the equipment proved to be successful and the final acceptance documents had also been handed over to the company.
This was a significant breakthrough for Western Magnesium considering the fact that the company is going to start working on its ‘green’ magnesium production operations in the next few weeks. Despite all that, the situation did not improve for the Western Magnesium stock on Thursday and it continued to be a laggard. However, things can change quickly in the stock market and investors could do well to keep an eye on it in light of yesterday’s announcement.
Chief Technology Officer, Paul Sauvé, stated, “Approval of these inspections further demonstrates the competence of our engineering and construction teams. This work has taken a considerable effort and we are highly encouraged by what has been accomplished to date.”
MLYF stock is below the 20-Day and 50-Day Moving averages of $0.29 and $0.29 respectively. Moreover, the stock is trading below the 200-Day moving average of $0.40.