Galaxy Reports Lithium Production Record at Mount Cattlin

Galaxy Resources’ Mount Cattlin mine reached a monthly production volume of 21,901 dry metric tonnes of lithium concentrate in April.

Shares of Galaxy Resources (ASX:GXY,OTC Pink:GALXF) closed up on Monday (May 13) after the lithium miner reported record production at its Mount Cattlin project in Western Australia.

In April, Galaxy’s spodumene project reached a monthly production volume of 21,901 dry metric tonnes of lithium concentrate, with an average final product grade of 5.92 percent lithium oxide compared to 5.75 percent lithium oxide in the first quarter of the year.

The increased production volume represents an annualized equivalent of over 260,000 tonnes — a jump from the company’s current target for the year of between 180,000 and 210,000 tonnes.

Since the start of 2019, Galaxy’s management has been focused on cost reduction and the efficient ramp up of the newly installed yield optimization circuits, Managing Director and CEO Anthony Tse said.

“This effort has resulted in the strongest month at Mount Cattlin, both in terms of production output and product quality, since the Mount Cattlin operations were recommissioned at the end of 2016,” he added.

During the second quarter, Galaxy’s production is expected to reach 45,000 to 50,000 dry metric tonnes of lithium concentrate, with shipment volume and sales forecasts set at the same level.

“Our customer base in China is linked to some of the top-tier lithium supply chain end users, demonstrating the broad acceptance and recognition of the consistency of the Mount Cattlin product,” Tse explained.

Cash costs of lithium concentrate production at Mount Cattlin in April were also lower, at US$329 per dry metric tonne compared to US$453 per dry metric tonne in Q1 2019.

As a result of the reduction in costs, Tse said Galaxy has a competitive advantage. “(It allows) the company to continue delivering a healthy operational cash margin, notwithstanding the recent softening of lithium feedstock and chemical pricing.”

In January, Galaxy upgraded Mount Cattlin’s resource by 42 percent. Total measured, indicated and inferred resources currently stand at 16.7 million tonnes at 1.28 percent lithium oxide grade containing 214,400 tonnes of lithium.

Aside from Mount Cattlin, the ASX-listed company is developing the Sal de Vida lithium brine project in Argentina and owns the James Bay lithium pegmatite project in Quebec, Canada.

On Monday, shares of Galaxy were up 1.55 percent, closing at AU$1.61 in Sydney.

Don’t forget to follow us at @INN_Resource for real-time news updates!

Securities Disclosure: I, Priscila Barrera, hold no direct investment interest in any company mentioned in this article.

Rio Tinto reaches agreement with Turquoise Hill Resources on financing plan for Oyu Tolgoi

Rio Tinto has entered into a binding Heads of Agreement (HoA) with Turquoise Hill Resources (TRQ) for an updated funding plan (the “Funding Plan”) for the completion of the Oyu Tolgoi (OT) Underground Project in Mongolia. The Funding Plan addresses the estimated remaining known funding requirement of approximately $2.3 billion 1 , building on and replacing the arrangements established in the Memorandum of Understanding that Rio Tinto and TRQ previously entered into on 9 September, 2020.

Under the HoA, subject to securing approval by OT LLC and any required support from the Government of Mongolia, and subject to timing, availability, and terms and conditions being acceptable to both parties, Rio Tinto and TRQ will:

Keep reading... Show less

Rio Tinto Exploration and Calibre Mining Initiate 2021 Exploration Program Including 5,500 Metre Drilling Campaign Prioritizing Prospective Near-Surface Copper and Copper-Gold Mineralization

Calibre Mining Corp. (TSX: CXB; OTCQX: CXBMF) (the “Company” or “Calibre”) is pleased to provide an update on the Borosi exploration project held under an earn-in option agreement between Rio Tinto Exploration (LSE:RIO) (“RTX”) (“Rio Tinto”) and Calibre. Calibre controls a 100% interest in the Borosi concessions located in the prolific Mining Triangle region of northeastern Nicaragua. RTX has the right to earn a 75% interest by spending US$45 million over eleven years in the project ( see Calibre news release dated February 24, 2020 ). The Borosi exploration program is being directed by RTX through a partnership agreement with Calibre as project operator.

Highlights

Keep reading... Show less

FDA Approves Trodelvy®, the First Treatment for Metastatic Triple-Negative Breast Cancer Shown to Improve Progression-Free Survival and Overall Survival

Trodelvy Significantly Reduced the Risk of Death by 49% Compared with Single-Agent Chemotherapy in the Phase 3 ASCENT Study –

– Trodelvy is Under Regulatory Review in the EU and in the United Kingdom, Canada, Switzerland and Australia as Part of Project Orbis

Keep reading... Show less

Rio Tinto details $47 billion 2020 economic contribution, including $8.4 billion of taxes and royalties

Rio Tinto today released its 2020 Taxes paid: Our economic contribution report , which shows the company made a total direct economic contribution of $47 billion in the countries and communities where it operates, including $8.4 billion of taxes and royalties.

Despite the widespread challenges of COVID-19 in 2020, the contribution was up from the previous year, when Rio Tinto made a total direct economic contribution of $45.1 billion in the countries and communities where it operates, including $7.6 billion of taxes and royalties.

Keep reading... Show less

Top News

Related News