Pilbara Minerals Ltd (ASX:PLS) has reported that production from its Pilgangoora hard-rock lithium operation grew 26% in the June quarter compared to the previous three-month period – reaching a record 226.2 thousand dry metric tonnes (dmt) of spodumene concentrate.
This achievement was built around continuous operation of the P680 primary
rejection facility, as well as improved recoveries resulting from successful plant optimisation.
The improved quarterly figures also boosted the company’s overall production profile during the 2024 Financial Year by 17%, to reach 725.3 thousand dry metric tonnes, while sales were also up by 43% in the June quarter, with 235.8 thousand tonnes sold.
The financial variables for production were also strong, as Pilbara reported a 58% rise in revenue – to $305 million – compared to the last quarter, with this being influenced by the increase in sales volume, but also the 4% rise in average realised price, which for the June quarter was set at US$840 per dry metric tonne.
As a result of the increased production volume, unit operating costs (FOB) were lower, positioned at $591 per dry metric tonne – a fall of 12% compared to the prior quarter.
Company financials were also in good shape, as Pilbara ended the June quarter with a cash balance of $1.6B, although this reduced by $156 million during the period mainly due to continued capital expenditure for P680 and P1000 expansion projects, with both remaining on schedule and on budget.
During the period, the company also began construction of the mid-stream demonstration plant at Pilgangoora Operation, as well as releasing the P2000 prefeasibility study, which showed the potential for production at the Pilgangoora operation to be expanded to 2.0 million tonnes per annum, if an additional plant was constructed.
Two other focal points for Pilbara – the P680 and P1000 expansion projects – are also on target, with a new P680 crushing and ore sorting facility commissioned during the June quarter, and first ore achieved from the latter in the first week of July, with full ramp up to be completed during the September quarter of the 2025 Financial Year.
P1000 – which is set to increase annual nameplate production run rate to around 1 million tonnes per annum, is expecting to see first ore during the March quarter of the 2025 Financial Year.
Pilbara has been trading at $2.89