first_imgSimply click below to discover how you can take advantage of this. Savannah’s target is to create a premium, carbon-neutral lithium concentrate in the EU.A rocketing lithium priceThe price of lithium has risen over 106% in the past year. And a recent International Energy Agency (IEA) clean energy transition report notes lithium demand could increase 40-fold by 2040. That’s because meeting the Paris Agreement goals will massively raise demand for lithium-ion batteries for use in electric cars.And according to the South China Morning Post, there are now over 500 electric car companies in China alone vying for market dominance. So this helps explain the soaring lithium price.China is currently by far the biggest lithium processing country, which the IEA says presents a potential ‘energy security’ issue. With this in mind, investors and governments may be disheartened to see Bacanora acquired by a Chinese firm.Investing in penny stocksPenny stocks are highly speculative and junior exploration stocks even more so. While the soaring price of lithium could well bring a share price rise to each of these companies, they also carry significant risk. Projects often cost more than expected and multiple share placings are par for the course. Savannah completed a share placing only last month at 4p a share, raising £10.3m towards its Portugal project.With all that in mind, I’m not tempted to invest in Bacanora Lithium or Savannah Resources today. But here is another growth stock worth your attention… I would like to receive emails from you about product information and offers from The Fool and its business partners. Each of these emails will provide a link to unsubscribe from future emails. More information about how The Fool collects, stores, and handles personal data is available in its Privacy Statement. Bacanora Lithium (LSE:BCN) is a London-listed company exploring for lithium carbonates in Mexico and Germany. The penny stock has been a favourite of speculative mining traders over the past year. And the BCN share price took a jump last week when China’s Ganfeng Lithium Company offered to buy it out for £190m. This acquisition values Bacanora at up to £267m. Supply chain disruption caused by the pandemic has led many commodity prices to rise in the past year and lithium is one of them. This is encouraging a wave in M&A activity across the sector. I’m interested in investing in sought-after commodity stocks, but would penny stocks in exploration be too risky an addition to my Stocks and Shares ISA? Enter Your Email Address Renowned stock-picker Mark Rogers and his analyst team at The Motley Fool UK have named 6 shares that they believe UK investors should consider buying NOW.So if you’re looking for more stock ideas to try and best position your portfolio today, then it might be a good day for you. Because we’re offering a full 33% off your first year of membership to our flagship share-tipping service, backed by our ‘no quibbles’ 30-day subscription fee refund guarantee. Are you on the lookout for UK growth stocks?If so, get this FREE no-strings report now.While it’s available: you’ll discover what we think is a top growth stock for the decade ahead.And the performance of this company really is stunning.In 2019, it returned £150million to shareholders through buybacks and dividends.We believe its financial position is about as solid as anything we’ve seen.Since 2016, annual revenues increased 31%In March 2020, one of its senior directors LOADED UP on 25,000 shares – a position worth £90,259Operating cash flow is up 47%. (Even its operating margins are rising every year!)Quite simply, we believe it’s a fantastic Foolish growth pick.What’s more, it deserves your attention today.So please don’t wait another moment. Are these lithium penny stocks worth buying? Kirsteen has no position in any of the shares mentioned. The Motley Fool UK has no position in any of the shares mentioned. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors. Get the full details on this £5 stock now – while your report is free. Our 6 ‘Best Buys Now’ Shares Kirsteen Mackay | Monday, 10th May, 2021 | More on: BCN SAV London-listed lithium stocksGanfeng already has a 17.41% stake in BCN. In February, the companies agreed to raise this to 28.88% and this should complete shortly. The BCN share price is currently around 57.6p and to make a full acquisition, Ganfeng would acquire the rest of its stake in BCN at 67.5p a share. But this arrangement is still at the proposal stage, and as yet no formal offer has been made. Therefore, I think it would be speculative to buy the shares today.5G is here – and shares of this ‘sleeping giant’ could be a great way for you to potentially profit!According to one leading industry firm, the 5G boom could create a global industry worth US$12.3 TRILLION out of thin air…And if you click here we’ll show you something that could be key to unlocking 5G’s full potential…Meanwhile, Savannah Resources (LSE:SAV) is another FTSE-AIM-listed lithium stock with a rising share price. Savannah is a much smaller company than Bacanora, with a £60m market cap. But it has big ambitions to be Europe’s first major lithium producer. The Savannah Resources share price has risen 104% in the past year but is down 35% from its 52-week high.Savannah has two projects on the go. A 90% stake in a lithium project in Portugal and a 20% stake in a heavy mineral sands project in Mozambique. The Mozambique project is in partnership with FTSE 100 stock Rio Tinto. Image source: Getty Images FREE REPORT: Why this £5 stock could be set to surge See all posts by Kirsteen Mackaylast_img