PLS Group approves $175m investment in Pilgangoora lithium project expansion
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The news: Lithium miner PLS Group has approved pre-final investment decision capital expenditure of about $175 million towards the P2000 Project for the potential expansion of the Pilgangoora lithium operation in Western Australia.
The numbers: About $100 million will go towards detailed engineering and procurement of long lead items for the processing plant, $60 million will go towards on-site early works and operational preparation and about $15 million will go to Wodgina Road East infrastructure upgrade and exploit the dry season window. The work streams will be progressed in FY27.
The context: The outcomes of the P2000 feasibility study are expected to be released in the December quarter 2026, with the final investment decision subject to a positive outcome, funding capacity and market conditions.
The expansion would push the nameplate capacity of the Pilgangoora operation from one million tonnes per annum to two million tonnes.
PLS said the investments “are expected to provide enduring value should P2000 development timing requirement modification”.
What they said: “This pre-FID capital expenditure preserves optionality and maintains momentum along the critical path. By progressing long-lead procurement, engineering and early works now, we are positioning PLS to respond to future lithium demand while retaining optionality for the timing of any final investment decision,” PLS managing director and CEO Dale Henderson said.
“We are commencing pre-FID activities from a position of operational strength, robust cash generation and a balance sheet that continues to build. Importantly, any final investment decision for P2000 will only be taken where study outcomes, funding capacity and market conditions support.”
The source: ASX
