Pilbara Minerals has successfully achieved first ore at its P1000 project in Western Australia, meeting its timeline expectations, while also reporting record production and sales volumes for the broader Pilgangoora operation. This milestone marks a significant step in the company’s expansion plans as it continues to strengthen its position in the global lithium market.

The company’s underlying earnings before interest, taxes, depreciation, and amortisation for the first half of the 2024-25 financial year are projected to be between approx. $71 million and $75 million, underscoring strong operational performance. However, Pilbara anticipates a net loss after tax of $5 million to $7 million, primarily driven by cost reductions resulting from the implementation of the P850 operating model.

Pilbara’s Managing Director and CEO, Dale Henderson, reflected on the company’s performance, stating, “PLS delivered a strong set of operating outcomes for the first half, including a new production and sales record from the Pilgangoora operation. We also met our timeline and budget for the P680 project, and these results are reflected in our EBITDA and net loss after tax.”

The company remains committed to its long-term battery chemicals strategy, continuing to invest in high-value projects like the POSCO Pilbara Lithium Solution (PPLS) joint venture and the mid-stream demonstration plant. Despite facing short-term financial challenges, Pilbara Minerals has maintained a robust cash balance of $1.2 billion as of December 31, 2024, enabling it to weather the market fluctuations and continue its growth trajectory.

Pilbara’s financial statements reflect a non-cash approx.  $16 million reduction in the carrying value of its call option to increase its stake in the PPLS JV, around $22 million net loss after tax for the JV, and $24 million in feasibility expenses for the mid-stream demonstration plant. While these impacts are expected to affect near-term results, the company remains optimistic about the future of its ventures.

Henderson emphasized the long-term potential, stating, “Beyond our core business, we’ve made significant strides in our chemical’s strategy, which will increase our exposure to value-added battery chemicals while diversifying our supply chain. The PPLS JV and mid-stream demonstration plant project have made excellent progress in their ramp-up and development phases.”

With the successful delivery of first ore from P1000, Pilbara Minerals continues to push forward with its strategic expansion plans, reinforcing its critical role in the global lithium supply chain. The company remains enthusiastic about the long-term outlook for the lithium market and is poised to scale its operations in line with evolving market demands.