AT A GLANCE: Pilbara Minerals’ spodumene sales hit record levels in Q4 on lithium recovery

A summary of Australian spodumene concentrate miner Pilbara Minerals‘ results for the fourth quarter of 2020, released on Wednesday January 6.

In brief

  • Pilbara Minerals’ sales increased by 38% to 70,609 dry metric tonnes of spodumene in the fourth quarter of 2020 due to improved spodumene concentrate demand from existing offtake customers and new inquiries amid a recovery in lithium chemical prices.
  • Total shipments exceeded sales guidance for the December quarter originally forecast at 55,000-70,000 of dmt spodumene concentrate.
  • The sale results were a record high for the company.
  • Pilbara Minerals said the record sale was underpinned by work undertaken in the previous 18 months in terms of lithia recovery, operating costs reduction and debt refinancing.
  • Battery-grade and technical-grade lithium carbonate prices in China, a key market for EVs, bottomed out at the beginning of the fourth quarter of 2020 and the upward momentum has continued in December amid a resurgence of lithium iron phosphate (LFP) battery demand in the country.
  • Fastmarkets’ weekly price assessment for lithium carbonate, 99.5% Li2CO3 min, battery grade, spot price range exw domestic China was 48,000-52,000 yuan ($7,349-7,961) per tonne on Thursday December 31, up from 45,000-48,000 yuan per tonne the previous week.

Q4 spodumene concentrate sales
(quarter-on-quarter comparison)
70,609 dmt, up 38% from 43,630 dmt

What to read next
The publication of Fastmarkets’ AG-PLM-0019 refined bleached deodorised (RBD) palm olein, cfr South China assessment for Thursday July 24 was delayed due to a reporter error. Fastmarkets’ pricing database has been updated.
Chinese corn import activity continued to be sluggish in June, dropping to 156,445 tonnes, down by 32,000 tonnes, 17%, from 188,542 tonnes in May, according to the latest data from the country’s General Administration of Customs (GACC).
The Detroit, Michigan-based automotive giant General Motors (GM) and the Carson City, Nevada-based lithium batteries recycler Redwood Materials announced on Wednesday July 16 that they have agreed to build energy storage systems (ESSs) using both new and recycled batteries.
American Chambers of Commerce (Amcham) across Latin America are calling for urgent negotiations to prevent the escalation of trade tensions between their countries and the US, following the announcement of sweeping 50% tariffs by President Donald Trump.
China’s push for greener ferro-alloy production has revealed a significant divide between its northern and southern regions due to contrasting access to clean energy, supply and demand dynamics and regulatory environments, according to market participants.
Despite falling prices, three Brazilian lithium plants – owned by Sigma Lithium, Companhia Brasileira de Lítio (CBL) and AMG Lithium – are seeking to expand their operations in the coming years, in order to become more competitive in the global market, Fastmarkets heard during the “Lithium Business Brazil” event held July 8-10 in the state of Minas Gerais.