Liontown Resources has released its quarterly report, highlighting that first production at Kathleen Valley is “imminent”.
The company said that the lithium project was substantially completed in the June quarter and is now more than 95 per cent complete overall, with commissioning well progressed.
The quarterly report outlined 3.8 million work hours spent on the project and a total recordable injury frequency rate (TRIFR) of 5.99 at the end of the quarter.
Throughout the quarter, progress was made in underground mining, with 1,596 total development metres recorded. This brings total development metres to around 3,500 since commencement of underground mining in November 2023. Metres advanced and ground conditions remain on budget and in-line with expectations.
Open pit mining at Kathleen’s Corner progressed with 1.3 million bulk cubic metres (BCM) mined, contributing to 216,000t of clean ore stockpiled before initial production. Mining is on schedule to access the primary ore zone in the September 2024 quarter, consistent with the production schedule.
The early completion of dry plant commissioning enabled throughput optimisation ahead of wet plant commissioning. The crushing circuit between the primary crusher and Fine Ore Bin has crushed and stockpiled approximately 58,000t of clean ore in preparation for first production.
The company said wet plant commissioning is advancing rapidly, with electrical commissioning nearing completion by quarter end focusing on flotation and reagent areas. Water commissioning commenced through the float circuit, ensuring all critical path items are on track for first production.
Accelerated development of the paste fill plant is now more than 60 per cent complete, in line with the commencement of underground mining extraction in late 2024.
The 95MW Hybrid Power Station has also been constructed and commissioned, with renewables now supplying power to the entire site.
Liontown’s Managing Director, Tony Ottaviano, said the company is on the cusp of completing the development required for first production at Kathleen Valley.
“A major milestone reached post-quarter was the signing of the US$250 million convertible note agreement with LG Energy Solution. The agreement, which came with a commitment to supply LG Energy Solution with additional offtake and an undertaking to work together on a downstream refinery, provides the balance sheet capacity to fund the Kathleen Valley ramp-up to 3Mtpa as well as early underground works to preserve the 4Mtpa expansion option in a 2027 timeframe.
“In the meantime, we remain focused on achieving first production, ramp-up and solidifying Liontown’s position as a major new producer and supplier of lithium raw materials.”
Featured image: Steve Morfi/shutterstock.com.
