Power Minerals jumps as spodumene prices buoy Incahuasi lithium project

Power Minerals (ASX:PNN) has unveiled its development study for its Argentinian Incahausi Lithium Project (ILP), with economics supported by recent upswings in benchmark lithium prices across the board.

Listen to the HotCopper podcast for in-depth discussions and insights on all the biggest headlines from throughout the week. On Spotify, Apple, and more.

On Thursday, the company reported its study “contemplates a project producing 5,000t/a of high-purity lithium carbonate” based on an existing JORC MRE of 235Kt of LCE, noting further resource expansion remains a possibility. All in all, the company can now move onto a prefeas study.

Underpinning robust economics is the fact of lithium’s recent price upswing, with multiple major lithium benchmarks showing strength in recent weeks.

That’s because a combination of investment bank analyst notes, commentary from the chair of Ganfeng, and ongoing issues at CATL’s Jianxiawo mine in China have come together to inject a burst of excitement under the battery metal – a darling commodity of the COVID years.

Lithium carbonate spot prices in China are up nearly +30% YTD while spodumene concentrate benchmarks in China are up higher at just north of +35% YTD. TradingEconomics’ 1Y price chart for lithium carbonate futures (traded in China) reflect the relative upswing (compared to late November of 2024.)

“We are delighted with the outcomes of the Incahuasi Conceptual Development Study, one of the core assets of our Salta Lithium Project in Argentina,” PNN MD Mena Habib said.

“In conjunction with our Incahuasi joint venture partner Summit Nanotech, we are committed to advancing the Project as a future long-term producer of high-purity lithium carbonate, and the Conceptual Study provides a logical and technically feasible measure of the project’s development viability.”

PNN last traded at 9.1cps.

Join the discussion: See what HotCopper users are saying about PNN and be part of the conversations that move the markets.

Disclaimer: HotCopper had a commercial relationship with PNN at the time this article was crafted and published.