Lithium producer PLS Ltd plans to invest around $1.9 billion to nearly double the production capacity of its flagship Pyrgangula mine in Western Australia, although the price of this battery metal is falling. The company issued a statement on Friday that it has made a final investment decision on the P2000 project at a wholly-owned mine in the Pilbara region. PLS said that after the project is put into operation, the annual production of spodumene will increase to about 2 million tons, and the first batch of output is expected to be achieved in the third quarter of 2029. Lithium prices have fluctuated sharply in recent years, making it difficult for the market to balance rapidly growing supply and uncertain demand prospects for electric vehicles and energy storage batteries. PLS CEO Dale Henderson said that he is not worried about the recent price drop, and the “pullback period is relatively short” in this round. In an interview, he said that it will take two and a half years before expanding production and adding capacity to the market, and the market will change again at that time. “We will be among the largest producers of lithium in the world,” he said. “We are moving forward with the project at full speed. This expansion is a major jump in production capacity, and in a cyclical market, such scale and cost advantages are critical.”
Zhitongcaijing · 1d ago
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Lithium producer PLS Ltd plans to invest around $1.9 billion to nearly double the production capacity of its flagship Pyrgangula mine in Western Australia, although the price of this battery metal is falling. The company issued a statement on Friday that it has made a final investment decision on the P2000 project at a wholly-owned mine in the Pilbara region. PLS said that after the project is put into operation, the annual production of spodumene will increase to about 2 million tons, and the first batch of output is expected to be achieved in the third quarter of 2029. Lithium prices have fluctuated sharply in recent years, making it difficult for the market to balance rapidly growing supply and uncertain demand prospects for electric vehicles and energy storage batteries. PLS CEO Dale Henderson said that he is not worried about the recent price drop, and the “pullback period is relatively short” in this round. In an interview, he said that it will take two and a half years before expanding production and adding capacity to the market, and the market will change again at that time. “We will be among the largest producers of lithium in the world,” he said. “We are moving forward with the project at full speed. This expansion is a major jump in production capacity, and in a cyclical market, such scale and cost advantages are critical.”
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