Pilgangoora production capacity to extend to 2mtpa

A pre-feasibility study has determined production capacity at Pilbara Minerals’ (ASX: PLS) Pilgangoora operation in WA could exceed 2mtpa.

This expansion is expected to result in the first 10 years of production averaging around 1.9mtpa spodumene concentrate, with production of more than 2mtpa over the first six years after ramp up.

This expansion project will be named the P2000 project and it would further extend Pilbara Minerals’ position as the largest pure play lithium producer in the world. It also revises the mine life to 23 years.

P2000 requires the construction of a new whole of ore flotation plant at Pilgangoora which will complement existing processing flowsheets currently in use at the operation.

The plant will be designed to manage ore feed that contains higher levels of host rock dilution, allowing for an increase to the bulk mining operations and maximising lithium ore recoveries.

Pilbara Minerals managing director and chief executive Dale Henderson commented on the expansion.

“This study follows the 35% reserve upgrade to 214mt announced in August last year. The growth of the reserve, and the optionality to incrementally expand production, further reinforces Pilgangoora’s position as a tier one asset of global significance,” he said.

“This expansion is expected to provide an average 1.9mtpa production for the first 10 years and more than 2mtpa over the first six years after ramp up.

“The scale benefits of this expansion will further build on Pilbara Minerals’ position as one of the major leading lithium suppliers globally.”

Pilbara Minerals has now begun a feasibility study in relation to P2000 with outcomes expected in the December 2025 quarter. A potential final investment decision will follow the feasibility study.

P2000 will deliver significant additional spodumene concentrate annual production capacity for offtake and strategic partnership opportunities which Pilbara Minerals will begin to explore.