HIGHLIGHTS
Mt Cattlin achieved record financial year production of 193,563 dry metric tonnes ('dmt') of spodumene concentrate in FY22
In the June quarter, 24,845 dmt of spodumene concentrate was produced and 37,837 dmt was shipped, generating record revenue of
Customer demand in the spodumene market remains robust and spodumene concentrate pricing in the September quarter is expected to be higher than the June quarter
Annual production at the Olaroz Lithium Facility2 reached a new record of 12,863 tonnes of lithium carbonate for FY22, 47% of which was battery grade material in line with targets
During the quarter production and sales of lithium carbonate were 3,445 tonnes and 3,440 tonnes respectively. This generated record revenue of
The lithium carbonate sales price for the September quarter is expected to remain similar to that of the June quarter
DEVELOPMENT PROJECTS
Olaroz Stage 2 reached 88% completion with first production expected in late H2 CY22. Total
At Naraha, plant commissioning activities including water testing have been undertaken and first production is expected by late September
The first pond at Sal de Vida ('SDV') Stage 1 is complete and filled with brine. Construction of the first two strings of ponds has reached 32% completion with first production expected in H2 CY23. During the quarter the SDV development plan was restated with a 40% increase in production to 45ktpa in two stages. A 10% increase in the resource to 6.85Mt LCE has also been defined
At
FINANCIALS AND CORPORATE
Strong operating performance and high sales prices have delivered record group revenue4 for the quarter of approximately
Group revenue for FY22 (including Mt Cattlin from merger date,
At 30 June group cash5 was
Strong cashflow and a robust balance sheet are expected to fund delivery of an aggressive growth strategy to increase production threefold by 2026 and to maintain 10% market share. The increase in production will be underpinned by the forecast growth in demand needed for the transition to electric vehicles
The business is entering a period of significant growth with Olaroz Stage 2 and Naraha to begin production later this year,
Three new senior executives have joined the business in
SUSTAINABILITY
In June Allkem became a constituent company in the FTSE4Good Index Series. The
The Respectful Workplace Behaviours program was rolled out to all Australian based personnel including all employees and contractors at the Mt Cattlin operation. In partnership with
Safety performance
There was an increase in reported Significant Potential Incidents at operations over the quarter, indicating reporting maturity and improving recognition of near miss events as serious incidents. A Critical Control Management program was implemented at Mt Cattlin and Sales de Jujuy continued the implementation of a Behavioural Based Safety module.
COVID-19 response
COVID-19 cases impacted Mt Cattlin mine site over the quarter with the peak caseload of the Omicron variant in
Biosecurity Protocols across the global operations remained in place and the impact of COVID-19 diminished proportionally to those countries' case numbers.
Contact:
Tel: +61 7 3064 3600
Web: www.allkem.co
Forward Looking Statements
Forward-looking statements are based on current expectations and beliefs and, by their nature, are subject to a number of known and unknown risks and uncertainties that could cause the actual results, performances and achievements to differ materially from any expected future results, performances or achievements expressed or implied by such forward-looking statements, including but not limited to, the risk of further changes in government regulations, policies or legislation; the risks associated with the continued implementation of the merger between the Company and
Subject to any continuing obligation under applicable law or relevant listing rules of the ASX, the Company disclaims any obligation or undertaking to disseminate any updates or revisions to any forward-looking statements in this Release to reflect any change in expectations in relation to any forward-looking statements or any change in events, conditions or circumstances on which any such statements are based. Nothing in this Release shall under any circumstances (including by reason of this Release remaining available and not being superseded or replaced by any other Release or publication with respect to the subject matter of this Release), create an implication that there has been no change in the affairs of the Company since the date of this Release.
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