(Kitco News) - On Tuesday, Pilbara Minerals (ASX: PLS) reported a significant increase in its estimated June Quarter lithium production to 123-127,000 dmt of spodumene concentrate at its 100%-owned Pilgangoora project in Western Australia, which is ~54% higher than the March Quarter.
The company said that its FY22 annualized production now expected to be in the range of 373–377,000 dmt (~33% increase from FY21: 281,098dmt), and at the upper end of the previous guidance range of 340-380,000dmt.
“After overcoming production challenges early in the June Quarter, Pilbara Minerals is closing the June Quarter with a strong operational performance that demonstrates the company’s ability to achieve annualized production targets previously announced,” the company said in a statement.
Importantly, Pilbara noted that strong market pricing conditions have been experienced during the June Quarter which, when combined with the increased shipment volumes achieved, will lead to a substantial increase of ~A$565M in the company’s estimated 30 June 2022 cash position to ~A$850-$855M.
Additionally, the company announced that a final investment decision was made to increase the Pilgangoora Operation’s nameplate production capacity from ~580,000 to 680,000tpa of spodumene concentrate (P680 project).
Pilbara Minerals is the leading ASX-listed pure-play lithium company, owning 100% of the world’s largest, independent hard-rock lithium operation. Located in Western Australia’s resource-rich Pilbara region, the Pilgangoora Operation produces a spodumene and tantalite concentrate.
