PERTH (miningweekly.com) – Lithium producer Galaxy Resources has signed agreements with Chinese customers to sell some 120 000 t of lithium concentrate at $830/t.
Customers will also be paying an additional $15/t for every 0.1% improvement in grade of ore delivered, resulting in an agreed upon price of $905/t for 6% lithium concentrate.
Galaxy is currently estimated to produce 160 000 t of lithium concentrate from its Mt Cattlin project, in Western Australia, during 2017, which the company said on Wednesday would satisfy the outstanding balance of 2016 contracted volumes to be delivered, as well as the newly contracted 2017 volumes.
MD Anthony Tse said that the company had experienced "very strong" interest from a wide range of customers since the planned restart of the Mt Cattlin project, and significant demand for the project’s planned production.
“The Mt Cattlin team will be working on a number of initiatives through the course of 2017, with the objective of increasing production recovery above and beyond the initially targeted 50% level, to provide its customers with the volume and quality of product they require as they continue to grow.”
Ore commissioning at the project started in mid-November, with the project also producing its first lithium concentrate during this time.
Trucking for the Mt Cattlin product started on December 5, with the trucks dispatched to the Esperance port.
Edited by: Creamer Media Reporter
EMAIL THIS ARTICLE SAVE THIS ARTICLE
To subscribe email subscriptions@creamermedia.co.za or click here
To advertise email advertising@creamermedia.co.za or click here
