Category: Projects & Operations

Albemarle idles WA lithium plant despite price lift Albemarle will idle its Kemerton lithium hydroxide plant in WA despite a recent recovery in prices for the battery metal.Effective immediately, Train 1 will be idled and placed into care and maintenance. Albemarle previously placed Train 2 into care and maintenance in 2024.Albemarle chairman and chief executive Kent Masters said idling operations at Kemerton was a difficult decision.“It follows significant actions we have taken over the past two and a half years to reduce operating costs during an extended period of price volatility in the market,” he said.“Unfortunately, recent lithium price improvements alone are not enough to offset the challenges facing Western hard-rock lithium conversion operations.“This decision improves our financial flexibility and preserves optionality.”Albemarle posted a Q4 net loss of $581m (US$414m), compared to a $105.6m (US$75.3m) net profit in Q4 CY24.The miner did benefit from higher pricing and volumes, with Q4 energy storage net sales increasing 23% to $1.065b (US$759m).

Evolution Mining (ASX: EVN) has delivered strong H1 FY26 results, with net profit after tax more than doubling to $766.6m from the year before as the gold price surged through Q2. Underlying profit after tax hit a record $785.2m, while earnings per share rose 107% to 37.96c, reflecting the strong gold price environment. Consistent operational performance delivered gold and copper production of 365,000oz and 36,000t, in line with guidance.  Evolution says it is on track to deliver 710,000-780,000oz of gold but is expecting to come in towards the lower end of its copper guidance due to a Q2 weather event at Ernest Henry. Off the back of these results, Evolution Mining has updated its Northparkes streaming deal with Triple Flag Precious Metals, securing an additional $120m refundable deposit due December 15. The revised deal also cuts the stream rate over the E44 deposit, reducing Triple Flag’s take to 25% of payable gold and 37.5% of payable silver. Evolution managing director and chief executive Lawrie Conway says this marks a major milestone for the Northparkes operation, where the miner has now established a pathway to unlock even more value.  “To achieve this, we needed to have full alignment with Triple Flag on how this value can be realised,” he said. “Triple Flag has demonstrated throughout our discussions, a commitment to jointly work on unlocking this potential.” Triple Flag chief executive and director Sheldon Vanderkooy says the gold potential of the Northparkes land package in this higher gold price environment is immense. “I want to congratulate the Evolution team for the significant value they have created at Northparkes through approval of the E22 block cave, commencement of a pre-feasibility study to evaluate the potential of a material expansion of Northparkes mill processing capacity, and the potential development of the E44 gold open pit,” he said. “We are pleased to provide additional development funding to Evolution for guaranteed minimum gold and silver deliveries from the gold-dominant E44 deposit, which will create value for the shareholders of both Evolution and Triple Flag.” The Evolution board has approved the development of the E22 block cave with a capital investment of $545m. The miner expects the operation to generate a rate of return of 28% at base case metal prices or 38% at upside metal prices. 

Rio Tinto rules out Glencore merger  Rio Tinto (ASX: RIO) has confirmed it is no longer considering a possible merger or other business combination with Glencore. While outlooks for Rio Tinto have been rejigged with the appointment of Simon Trott to chief executive, a merger with Glencore would have been doubly surprising. According to Glencore, the offer would have seen Rio Tinto retaining both the chairman and chief executive roles and delivering a proforma ownership of the combined company. Glencore said this arrangement would significantly undervalue the company and that the proposed acquisition would not be in the best interests of its shareholders.  The talks have been watched closely as copper appears central to the deal. Rio is actively building scale in copper, while Glencore brings an established global copper portfolio. But beyond copper, the companies’ portfolios are difficult to reconcile. Rio remains anchored in iron ore and has spent years simplifying its exposure to higher-emissions commodities, including exiting coal, while Glencore remains one of the world’s largest coal producers.  Rio’s push to streamline around ‘future-facing’ commodities sits awkwardly with Glencore’s coal exposure — meaning copper alone may not have been enough to justify what could have been a complex integration. 

Regis reassesses ‘unviable’ $1b gold mine Regis Resources (ASX: RRL) is proposing a new development approach for its McPhillamys mine in NSW, which was derailed in 2024 by an Indigenous heritage ruling.The ruling made in August 2024 — more than a year after the project was approved — denied the construction of a tailings dam near the Belubula River in an attempt to protect culturally significant land.The company took the decision to the Federal Court and the matter was heard by the court in December 2025.Regis has argued that the view held by the Federal Department of Climate Change, Energy, the Environment and Water (DCCEEW) changed after additional evidence was produced by an independent Aboriginal elder more than a year after approval was granted — believing that further investigation into the Dreaming story used as evidence should have taken place before the ruling was handed out.If Regis’ application is successful, the company will seek a declaration from a Federal Court judge that the 2024 ruling handed down by then Federal Environment Minister Tanya Plibersek is legally invalid and that the application be redetermined by a different minister.Following Regis’ challenge to the Federal Court, Minister Plibersek remained adamant in her ruling.“The truth is we are living in a country where we’ve got thousands of years of continuous culture and heritage. We’ve done a pretty bad job of protecting it in the past,” Minister Plibersek said.“Protecting cultural heritage and development are not mutually exclusive. We can have both.“Crucially, my decision is not to stop the mine. The company has indicated to me that it has assessed around four sites and 30 potential options for the tailings dam.”Following the ruling, contrary to Minister Plibersek’s declaration, Regis deemed the project as non-viable, stating it would take up to 10 years to identify and gain approval for an alternative tailings site, before taking out a non-cash impairment of $192m.With the Federal Court’s ruling pending, Regis continues to progress a dual-track strategy to return McPhillamys to an approvable status.In parallel with the ongoing court process, Regis has advanced work assessing the suitability of an integrated waste landform incorporating a form of co-disposal within the planned waste dump.Initial study outcomes indicate that the concept is technically feasible and further detailed engineering, environmental and commercial assessments are underway to progress facility design, approvals pathway and potential development timeframes.

PLS weighs Ngungaju restart as revenue jumps 49% PLS (ASX: PLS) has flagged a potential restart of its 200ktpa Ngungaju processing plant as recovering spodumene prices helped net a Q2 revenue of $373m.PLS says it has completed early operational readiness works to position Ngungaju for a restart within about four months of a decision, with the board expected to consider whether to proceed during the March quarter.The company reported spodumene concentrate production of 208kt for the quarter while sales increased 8% to 232kt.Operationally, PLS said Q2 performance at the Pilgangoora operation was in line with expectations, reflecting continued mining efficiencies and a deliberate strategy to increase contact ore feed to maximise utilisation of ore sorting capability.Total material mined rose to 8.1mt from 7.7mt, while total ore mined fell to 1.5mt from 1.7mt as activity shifted toward planned waste stripping to support future production.Lithium recoveries remained strong at 76%, despite the intentional increase of contact ore processed during the quarter to maximise the sorter performance.The P2000 feasibility study, which is assessing the potential expansion of the Pilgangoora operation’s production capacity to approximately 2mtpa, continues to progress.In light of recent improvements in market conditions, the timeline for P2000 study outcomes is under review, with PLS planning to provide an update in the March quarter.

Liontown goes fully underground as lithium prices rally Liontown (ASX: LTR) has completed mining at the Kathleen’s Corner open pit, positioning Kathleen Valley as a fully underground mining operation.The annualised underground run-rate of 1mtpa was achieved on schedule, with Liontown now targeting 1.5mtpa by the end of Q3 FY26 and 2.8mtpa steady-state by the end of FY27.Liontown managing director and chief executive Tony Ottaviano comments on the company’s Q2 performance.“The December quarter represented a major operational and financial inflection point for Liontown, with open pit mining completed on schedule and the operation now 100% underground,” he said.“Underground ore production increased by 37% during the quarter, supported by strong development progress and improving operational leverage, resulting in cashflow-neutral operations.“Our US$900/dmt realised price for the quarter, on an SC6 equivalent basis, reflects the timing of offtake pricing, which was largely set prior to the strong rally in spodumene prices late in the quarter.“Pricing strength has continued into 2026, with market conditions now the most favourable experienced since the commencement of production.“With underground production continuing to scale, costs trending lower and higher pricing expected to flow through in coming quarters, Liontown is well positioned to deliver a strong financial performance in the second half of FY26.”Q2 unit operating costs and AISC decreased by 17% and 22% respectively from Q1. Liontown says it remains on track to meet FY26 guidance.Spodumene prices rallied late in the quarter and have remained firm into 2026, improving sentiment across the lithium sector. Now, LG Energy Solution has elected to convert its entire US$250m convertible note holding into an estimated 239 million fully paid ordinary shares in Liontown.“LG Energy Solution's decision to convert their entire holding to equity is a strong endorsement of Kathleen Valley's tier-one quality and our operational execution,” Mr Ottaviano said.“This conversion delivers immediate benefits to shareholders. It simplifies our capital structure, eliminates future interest obligations on the notes, and strengthens our balance sheet — giving us real financial firepower as we scale production, while remaining focused on shareholder returns and disciplined capital allocation.“Importantly, it deepens an already important strategic partnership with LG Energy Solution. LG Energy Solution was instrumental in supporting our transition to producer, and their decision to become a significant equity holder further aligns our interests.“We now have one of the world's leading battery manufacturers as both a cornerstone shareholder and a long-term offtake customer — a powerful combination as we execute on Liontown’s full potential.”Upon completion, LG Energy Solution will hold about 8% of Liontown’s issued share capital, with the shares to be issued within five business days.

Deloitte: Australia’s mining industry ‘in the eye of the storm’ The mining industry is at a critical crossroads — produce more while decreasing spend, using less and working faster.These expectations are real and miners need to learn to walk the tightrope as the entire world watches from the stands.Companies are redefining how they create and share value as governments seek to strike balance between industrial, defence and energy security strategies while communities call on miners to contribute meaningfully and uphold stringent ESG standards.With minerals and metals for the energy transition and advanced technologies more in demand than ever, the question is no longer whether the industry can supply the materials that power global progress, but how it can do so in a way that improves all global systems.Deloitte’s 18th annual edition of Tracking the trends, explores how mining and metals organisations and their broader ecosystem of collaborators can harmonise using practical pathways to evolve from simply extracting value to collectively creating it.Identified as the trend most likely to impact the industry over the next 12 to 18 months, critical minerals are now at the centre of national security discussions worldwide.Over the past decade, mining and metals companies have come under mounting pressure to meet heightened minerals demand generated by global electrification and now, national security imperatives layer urgency and complexity onto those expectations.Combined with rising geopolitical pressures, market signals are now increasingly entangled with political considerations. For governments and companies across the globe, this has emphasised how fragile supply chains have become.Trade fragmentation is also accelerating, as global growth was projected to slow to 2.3% in 2025 due to rising barriers and policy uncertainty and the World Economic Forum estimates the cost of global financial system fragmentation to currently sit between $.85t and $7t .True transformation will likely depend upon cooperation across sectors — creating the trust, agility and shared vision needed to turn complexity into collective progress.Deloitte Australia mining and metals leader Nicki Ivory says the trends impacting the mining and metals sector feel almost unprecedented, and Australia is in the eye of the storm.“Our abundant critical mineral supply, once seen primarily as an energy transition enabler, is now at the centre of global national security discussions,” she said.“Companies are expected to balance powering clean energy with reinforcing defence strategies, all while meeting growing consumer demand.”ESG factors are now more than just corporate buzzwords. They have become business-critical priorities, as investors, regulators and customers demand greater transparency and accountability on sustainability metrics.Companies that align commercial ambition with societal and environmental value creation tend to perform better, innovate faster and endure longer. This means collaborating to reduce emissions in operations, regenerate nature, strengthen regional infrastructure and develop future workforces.Companies are increasingly expected to play a dual role to power the energy transition and simultaneously reinforce national defence strategies all while maintaining pace with ever-increasing consumer demand and abiding by industry ESG standards.Advanced technology integration, including the use of AI systems, is also expected to have a dramatic effect across the sector, from redefining exploration to the next evolution of human resources.“The exponential growth of AI is presenting transformative opportunities to elevate operational resilience and competitiveness by boosting productivity and revolutionising mineral discovery,” Ms Ivory said.“Off-site, the arrival of agentic AI is forcing a rethink of how workforces should be structured in a world where humans and agents work side by side.“Together with other technologies, AI is accelerating the impetus for organisations to optimise their own performance through smart operations — fully connected ecosystems where assets, systems and people work together in real time to make mining safer, faster and more reliable.”The industry has been out of step with many community and environmental expectations due to the traditional focus on producing high volumes for as little cost as possible.In this new era of heightened scrutiny, shifting societal values and rapid technological transformation, mining companies increasingly recognise that a clear purpose that aligns with stakeholder values is crucial for business growth.With shifting market demand and rapid new advances in technology and exploration, opportunities are limitless for the future of the Australian resources sector — if miners can reach an equilibrium.

Mineral sands downturn forces $565m Iluka adjustment Critical minerals producer Iluka Resources (ASX: ILU) has flagged a $565m pre-tax hit tied to its mineral sands business as weak demand continues to weigh on prices.The update comes amid renewed policy uncertainty after Reuters reported the Trump administration is stepping back from plans to guarantee price floors for US critical minerals projects, citing funding constraints and the complexity of setting market pricing.Iluka still exceeded its 2025 production guidance, delivering 559kt of zircon, rutile and synthetic rutile while reducing cash costs.Iluka says the FY25 charges comprise two exceptional items: a $350m non-cash impairment and a $215m inventory value reduction.The impairment is centred on Iluka’s mineral sands operations after the company moved in September to suspend production at the Cataby mine and the synthetic rutile kiln 2 (SR2).The suspension, effective December 1, was largely driven by subdued demand for mineral sands and their associated downstream products.Iluka also flagged a 35% reduction in Cataby’s remaining ore reserve with the revised mine life expected to be four years from resumption of mining.Iluka is still progressing its downstream build at Eneabba in WA. Upon commissioning in 2027, Eneabba will be one of the few rare earths refineries operating outside of China.

IGO: 'No pathway' for Kwinana even as lithium rebounds A recovery in lithium prices has strengthened IGO’s (ASX: IGO) Greenbushes operation, but the miner says Kwinana remains a high cost asset with “no pathway” to appropriate returns.IGO expects the lithium market's strong price growth to continue into early 2026. Average realised spodumene price increased 16% in Q2 to $1200/t (US$850/t).Despite a positive price environment, lithium hydroxide production at Kwinana declined to 35% of nameplate capacity in Q2 due to plant maintenance shutdown in late October and early November.“Kwinana production was impacted by a maintenance outage but demonstrated about 50% capacity utilisation in December,” IGO managing director and chief executive Ivan Vella said.“As IGO has noted previously, even with higher production and lithium hydroxide prices, we see the refinery as a high cost asset with no pathway to appropriate returns.”Greenbushes production was up 10% in the quarter reflecting increased ore mined and an improvement in grade following Q1’s grade and weather impacted volumes.Spodumene sales at Greenbushes were higher than the previous quarter but remain below production.“Greenbushes spodumene production improved to 352kt, after a weaker first quarter impacted by grade and weather,” Mr Vella said.“CGP3 construction was completed and first ore processed in December.“This is a significant milestone. While some schedule slippage and capex increase was experienced earlier in the project, it is pleasing that the asset is now ramping up in a strong market. We will be looking to maximise production from the asset in H2 FY26.”Nova delivered 3.8kt of nickel and 1.8kt of copper in the quarter. The operation is expected to reach its end of life by late 2026.“The Nova operation is being managed well,” Mr Vella said.“For its remaining life, the focus is on safety, stable production and managing costs. The operation is still generating positive free cash and selling into a strengthening nickel market.”IGO saw a further improvement in TRIFR, down to 5.8 from 8.0 in Q1, which the miner says is the result of its continued focus on harm prevention and safety culture.

Northern Star slashes guidance as sales take a hit Northern Star (ASX: NST) has revised FY26 production and cost guidance following lower gold sales across its three production centres in the December quarter.FY26 group all-in sustaining cost (AISC) guidance was increased to $2600–2800/oz from $2300–2700/oz, predominantly driven by lower gold sales and higher royalties from elevated gold prices.FY26 production guidance has been lowered to 1600-1700koz, from 1700-1850koz, with Northern Star citing a number of one-off operational events.Northern Star managing director Stuart Tonkin comments on the December quarter performance.“As previously announced, a number of one-off operational events across our assets resulted in a softer December quarter and prompted us to revise FY26 production and cost guidance,” he said.“Looking ahead, our team remains firmly focused on driving productivity improvements and strengthening cost discipline."The December quarter delivered positive advances at our two key growth projects that will structurally reshape our cost base and support delivery of higher-margin ounces.”KCGM’s December quarter gold sales were impacted by lower throughput after a primary crusher failure, with normal operations resuming in early January.At Yandal, Jundee recovery works took longer than planned with up to a 20koz impact. Thunderbox was hit by lower mined grades, unplanned processing downtime and reduced recoveries linked to carbon-in-leach tank failures, as well as ventilation fan downtime that affected underground volumes and mill feed grades.At Pogo, grades fell due to new mining areas and higher dilution, before improving late in the quarter, while lower gold sales also pushed up unit AISC.Northern Star has also lifted its KCGM Mill Expansion capex from $530–550m to $640–660m. The project remains on track for early FY27 commissioning.

Wyloo snaps up remaining Greatland stake Wyloo will acquire Newmont’s (ASX: NEM) remaining interest in Greatland (ASX: GGP), lifting its holding to 18.13% as gold prices push past $7200 amid geopolitical tensions.Greatland is developing the Havieron project and working to extend mine life at Telfer, both of which it acquired from Newmont in 2024.Wyloo has secured the remaining stake for about $3/share while Greatland currently trades at $13.32, building on a call option struck alongside the 2024 acquisition.Wyloo chief executive Luca Giacovazzi says the decision reflects strong confidence in Greatland and the long-term value of its broader vision.“We are proud to continue deepening our partnership with Greatland as its largest shareholder. We believe in the company’s disciplined approach, the quality of its assets and the capability of its team,” he said.“Greatland is emerging as a leading multi-asset gold and copper producer with the potential to become one of the most significant mining companies on the ASX.“We believe there is substantial value yet to be unlocked from Havieron and Telfer, and we look forward to continuing our support as Greatland drives operational excellence and delivers disciplined, sustainable growth.”Greatland has reported promising results from its second quarter of Telfer’s record drilling program, including the highest grade West Dome Underground drilling results to date.