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W Australia backs troubled lithium miners with $97mn

  • Market: Battery materials, Metals
  • 27/11/24

The Western Australia (WA) government will support the region's embattled lithium mining firms, which have found themselves stuck in a lithium price slump this year, by waiving fees and offering loans through a A$150mn ($97mn) support package.

"This package will provide important temporary and responsible support for WA's fledgling lithium industry, taking into account the extremely challenging market conditions it is facing," WA premier Roger Cook said on 27 November.

The package includes waiving up to two years of "government fees" totalling A$90mn to support the continuation of downstream lithium processing. Up to two years of port charges and mining tenement fees totalling A$9.37mn will also be waived. A A$50mn loan facility that offers lithium miners temporary interest-free loans will also be set up, the state government said. The loans will cease to be interest-free after average lithium spodumene prices rise above $1,100/t for two successive quarters, or by 30 June 2026 if prices remain below this threshold.

Multiple lithium firms operating in the region — from Mineral Resources, Liontown to Pilbara — have this year been forced to cut output, shut down part of their operations or slow expansion plans under the lithium downturn that has persisted for most of 2024.

Lithium prices, which appeared to have bottomed out in October, have recently risen. Argus-assessed prices for 6pc grade lithium concentrate (spodumene) rose to $800-880/t cif China on 26 November from $800-850/t cif China on 19 November. But prices have crashed from an all-time high of $5,875/t cif China in November 2022.

The lithium outlook for January-March 2025 remains largely pessimistic, said an Australian spodumene producer. The earlier output adjustments announced by Australian spodumene miners, which partly drove the rise in prices, could potentially be reversed if the price uptrend persists for three months. But these decisions heavily depend on market demand, the miner said.


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29/11/24

Liberty units to be repaid in Speciality restructuring

Liberty units to be repaid in Speciality restructuring

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Japan’s Al imports rebound in October


29/11/24
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29/11/24

Japan’s Al imports rebound in October

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Tharisa’s profits up on higher chrome production


28/11/24
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28/11/24

Tharisa’s profits up on higher chrome production

London, 28 November (Argus) — South African platinum group metals (PGM) and chrome producer Tharisa's full-year 2024 profits rose as revenue from higher chrome production offset low PGM prices, the company announced in its annual results today. The company reported an operating profit of $119.6mn for the financial year. The increase of 26.3pc compared with 2023 was attributed to higher chrome prices that offset lower PGM prices and sales volumes. Chrome ore production contributed 68pc of Tharisa's revenue for the year. Specialty chemicals group Johnson Matthey priced platinum at $945/troy ounce (toz) today, down by 7pc since the start of the year. Palladium prices also fell, down by 14pc since the beginning of 2024 at $998/toz today. In Tharisa's October production report , the company said that chrome concentrate production over the 2024 financial year ending on 30 September was the highest in company history at 1.7mn t, up by 8pc from 2023. Tharisa produced 145,100oz PGM (6E), a 0.3pc increase from the previous financial year. The company is proceeding with plans to expand the Tharisa mine underground, with design, technical and feasibility studies expected to be finalised in the second quarter of 2025. The development is expected to extend the lifespan of the mine by 40 years. Tharisa also said it is continuing development of the Karo Platinum Project mine, although the challenging PGM price landscape led the company to slow the project timeline. By Ellanee Kruck Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

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Ambatovy to complete debt restructuring by Dec


28/11/24
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28/11/24

Ambatovy to complete debt restructuring by Dec

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Hastings signs Saudi metals refinery agreement


28/11/24
News
28/11/24

Hastings signs Saudi metals refinery agreement

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