Mineral Resources (MinRes) welcomed growth in its lithium department during the December quarter despite an unfavourable market.
The price of lithium is trending down lately, with many producers like Albemarle and Core Lithium slowing down operations to limit costs.
Despite the market, MinRes said in its quarterly that Wodgina, Mt Marion and Bald Hill – the company’s three lithium mines – are profitable at current prices.
What’s more, MinRes expects operating costs at Wodgina and Mt Marion to decrease in the coming months as stripping works are completed.
On the production side of things, Mt Marion spodumene concentrate production increased 30 per cent quarter on quarter, with shipments also rising 34 per cent for the quarter to a total of 86,000 dry metric tonnes (dmt).
Wodgina produced a 22 per cent increase in spodumene concentrate for the quarter, with improved plant recoveries. Spodumene concentrate shipments also increased significantly to 65,000 dmt.
MinRes produced 6800 tonnes of lithium battery chemicals at Wodgina, with sales up 52 per cent for the quarter.
The company also finalised the acquisition of Bald Hill during the quarter, assuming project control in November.
Over this period, the mine produced 26,000 dmt of spodumene concentrate, with 20,000 dmt shipped.
Talking iron ore, shipments increased by 23 per cent for the quarter, up to 4.8 million wet metric tonnes. This number is expected to be boosted by the Onslow iron project in June 2024 when the site ships first ore.
MinRes said the Onslow project is progressing well, with construction expected to be delivered well within budget.
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