Liontown Resources says Kathleen Valley more than 50% complete

The news: West Australian critical minerals play Liontown says its flagship Kathleen Valley lithium project is more than half-completed and has a production start date in sight.

The numbers: In a quarterly update, Liontown said Kathleen Valley is more than 50% complete, with production expected to begin in mid-2024. The company's cash balance was $285 million at the end of September. LTR shares were up 0.6% in early trade, fetching $1.65 shortly after the bell.

The context: Liontown secured funding for the project earlier in October with debt funding of $760 million and a $376 million capital raising, days after US chemicals giant Albemarle abandoned its takeover bid for the miner. Albermarle cited "growing complexities" in its decision to withdraw, which has been attributed to the acquisition of a 19.9% blocking stake by Gina Rinehart’s Hancock Prospecting.

What they said: "To the credit of the entire Liontown team, Kathleen Valley remains on schedule with all major mining and construction contracts now awarded and more than 90 percent of capital costs committed, ensuring we have a clear line of sight through to first production in mid-2024," Liontown managing director Tony Ottaviano said in a statement.