Lithium Australia’s shares experienced a boost, escalating to a peak of 7.4%, marking their highest since February 23.

The leap was attributed to the announcement of Lithium Australia (ASX:LIT) having concluded a memorandum of understanding (MoU) with South Korea’s SungEel HiTech and a mutual growth agreement, which also contained an investment component.

The MoU foresees to bolster the supply chain of battery materials between Korea and Australia.

Despite the intraday increase, the highest since February 23, the stock has seen a 10% drop year-to-date.

Lithium Australia is a mining and resources company specializing in lithium extraction and recovery techniques.