Oroplata Resources Inc (OTCMKTS:ORRP) Looking To Bounce

Oroplata Resources Inc (OTCMKTS:ORRP) has been on a downward spiral ever since shares hit their highs above $2 back in July. There's been no negative news from the company, so the only explanation is that some big holders have dumped their stock. This, in turn, caused small shareholders to get nervous as the price kept dropping and added to the selling pressure. Add in, greedy shortsellers and marketmakers, and we have ORRP at the bottom of the range. Investors are now asking if the selling is over and ORRP can bounce.First up, a little background on the company. Oroplata Resources Inc., through its wholly-owned subsidiary, Lithortech Resources Inc., is focused on becoming a substantial profitable lithium producer by the rapid development of valuable production-grade lithium brine deposits in Nevada and throughout the southwest U.S. Lithium brine projects have a number of significant advantages over conventional hard rock Lithium mining projects; they are cheaper to explore compared to the alternatives; they are quicker in proving up a resource and reserves; they are faster and much less capital intensive to put into production. Lithium brine production also has a much smaller environmental footprint and produces ready-to-ship Lithium carbonate.On July 29, ORRP announced that it had entered into a binding agreement with Plateau Ventures of Utah, to exercise its second option to acquire an additional 700 mining placer claims at the Western Nevada Basin project in Nevada. The original WNB project agreement covered 500 contiguous mining placer claims covering approximately 10,000 acres (See news releases dated June 1 and June 17, 2016). With the additional claims, Oroplata, will now hold approximately 24,000 acres. The company expects that all 1200 claims will be transferred to Oroplata’s Nevada subsidiary on or before August 31^st, 2016. After the ownership of these rights are recorded at Nye County as well as at Bureau of Land Management, The Company will hold a 100% interest in the claims with no royalties at development.This puts ORRP right at the heart of the lithium market in the U.S. Nearby is Tesla's new Gigafactory, which will produce Lithium-ion Batteries for it's electric cars. Elon Musk has stated that Tesla will need to consume the entire lithium market to meet its demands of 500,000 Model 3’s by 2018.Oroplata’s 2016 Short Work Program at the WNB Lithium Project is planned to include the re-entry of a series of currently shut-in oil wells to conduct vertical analysis of several known and potential lithium bearing brine horizons by perforation of the well casing at numerous depths. Testing of lithium bearing brine horizons from active oil wells is also planned in various areas, if available. CEO Craig Alford said:

“This drilling and sampling focused work program will directly examine lithium enriched tuff horizons through direct sampling across our WNB property and should generate lithium values both laterally and vertically through the project area. This method has already been proven extremely effective at other now productive lithium brine operations, including Clayton Valley in Nevada. We expect that completing this work program in 2016 will provide us with the additional subsurface data required to generate the most detailed proprietary geologic stratigraphic model for the Western Nevada Basin area ever created. This will be a great benefit to us as we plan the future development of the project.”

Currently trading with a market cap of just $20 million, ORRP remains one of the best plays on Lithium in the entire sector. We expect to hear more from the company in the next two weeks regarding the planned 2016 Short Work Program at Western Nevada Basin Lithium Project. This news is just what the market needs to hear to get shares bouncing and moving higher again. We will be updating our subscribers as soon as we know more. For the latest updates on ORRP, sign up below!Disclosure: We have no position in ORRP and have not been compensated for this article. We have previously been compensated by Rich Team Consultants Ltd for three two day awareness campaigns regarding ORRP. Those contracts have expired.