PLS powers through Q4

PLS’ (ASX: PLS) FY25 guidance was achieved or exceeded across all metrics alongside a 28% revenue increase in Q4.

Q4 saw a production volume of 221.3kt, reflecting the increased output from the optimised Pilgan Plant following completion of the P1000 expansion in Q3.

Spodumene concentrate production was 221.3kt in Q4, a 77% increase compared to the prior quarter, due to higher plant availability and the capability provided by the P1000 expansion.

Lithium recovery of 71.6% in Q4  was higher than the prior quarter, with the period unhindered by plant commissioning and weather impacts. The Q4 recovery was in line with expectations, factoring in a higher proportion of contact ore (a blend of ore and host rock from the ore contact boundary) processed in the quarter.

The ore sorting facility continues to contribute to a reduction in mining costs by allowing a higher proportion of contact ore to be processed through the plant, rather than stockpiled and reclaimed at a later date. This facility allows more of the total ore mined to be used in the process plant, effectively reducing reliance on clean ore delivery.

Looking to FY26 PLS says it is focused on unlocking the full value of recent investments through operational excellence, disciplined cost control and capital efficiency.

“The company will leverage the enhanced processing capacity from recent plant expansions while maintaining a prudent approach to targeted capital deployment to maximise returns in a dynamic market environment,” PLS said in its June Quarterly Activities Report.

“The FY26 operating strategy is centred on further reductions in unit operating cost enabled by a full year of operation under the expanded processing capability inclusive of PLS’ industry-leading ore sorting facility.”

Average lithium recovery for FY26 is targeted at about 72%, subject to ongoing feed variability and processing optimisation.

Production volumes are expected to remain steady quarter-on-quarter, supported by four scheduled maintenance shutdowns.

FY26 spodumene production is guided at 820kt to 870kt, reflecting continued benefits from Pilgan plant expansions.