IGO revises cost of Greenbushes plant cost
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The news: Critical minerals producer IGO says its joint venture for the Greenbushes project has revised the cost and timeline for the under development chemical plant at the site.
The numbers: The JV now expects the total project cost at $880 million, with first ore to the plant now expected in the second quarter of FY26.
Under its previous estimate, the Chemical Grade Plant 3 (CGP3) project was due to be completed in early 2025 at a cost of $500 million to $550 million.
IGO shares are up 0.4% at $5.29 in early trading.
The context: The lithium and nickel miner attributed the changes to the impact of industry cost escalations, changes to scope and design and delays in completion of some work packages.
It said the remaining cost to complete the project is $270 million. CGP3 will add about 500,000 tonnes of spodumene concentrate production capacity per year when complete.
IGO’s joint venture with China's Tianqi Lithium Corporation operates Greenbushes, Australia’s biggest lithium mine.
The source: ASX
