Liontown shares jump on Kathleen Valley progress
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More news: Shares in Liontown Resources advanced in early trading on the ASX after the miner said the ramp up of its flagship Kathleen Valley operation in Western Australia was running to schedule.
Liontown shares were up 8.7% to 68.5 cents by 10:45am AEDT, having gained nearly 30% since the turn of the year.
Liontown continues Kathleen Valley ramp up as lithium price tumbles
The news: Lithium miner Liontown Resources continued the ramp up of its flagship Kathleen Valley operation during the three months to December, with spodumene concentrate production more than tripling quarter over quarter.
The numbers: Spodumene concentrate production rose 215% to 88,683 dry metric tonnes (dmt), while sales rose 651% to 81,341 dmt. The realised price of spodumene concentrate lowered 5% during the period to USD806 ($1,285) per dmt.
The ramp up saw Liontown's revenue jump 674% from $11.6 million in Q1 to $89.9 million in Q2.
The context: Liontown said the ramp up of production at Kathleen Valley is "continuing to meet, and in some areas exceed expectations".
The Western Australia project commenced production in July and dispatched its first shipment it September. In addition to the spot and ramp up tonnes sales, the miner said it will progressively fulfil its strategic offtake agreements with LG Energy Solution, Tesla and Ford.
What they said: "As we navigate the current low-price lithium environment and given our strategic approach to continuous improvement, ongoing optimisation will continue across our business," managing director and CEO Tony Ottaviano said.
The source: ASX announcement
