Pilbara Minerals grant to move up the lithium value chain

Western Australian lithium producer Pilbara Minerals has secured a 10-year debt facility from the federal government to support the expansion of its Pilgangoora operation (pictured) underpinning its moves further down the battery materials supply chain.

The facility, provided through the Export Finance Australia (EFA) and Northern Australia Infrastructure Facility (NAIF) agencies, will support construction of P680 Project expansion at the Pilbara, WA operation.

EFA has approved finance of the US$ equivalent of $125 million, whilst NAIF has agreed to provide up to $125 million in funding.

The expansion will:

• Deliver an additional 100,000tpa of spodumene concentrate production at an estimated capital cost of $103 million
• And a five Mtpa crushing and ore sorting facility that will replace contracted crushing capacity, underpinning expansions that could ultimately deliver up to 1Mtpa of spodumene concentrate capacity.

This latest funding support follows initial financing support provided by the Clean Energy Finance Corporation which allowed the Pilgangoora project to be built.

Pilbara Minerals’ Managing Director and Dale Henderson said the financing demonstrated the government’s commitment to the domestic critical minerals industry.

It would provide the company with financial flexibility as it looks to expand and diversify its operations to participate further down the battery materials supply chain.

Henderson said: “This support has helped fuel the growth of a great Australian business of which we and our stakeholders are truly proud.

“We look forward to continuing to work with the Australian Government as we pursue our growth and diversification strategy to further realise our ambition to become a fully integrated, sustainable battery materials supplier.”

It is expected that key terms of the facility will be finalised during this quarter.

Picture” Pilbara Minerals