Australian Galaxy Resources reduces Lithium production

Published: Oct 24, 2019 11:21
GalaxyResourcesLtd, an Australian lithium miner, said on Thursday it would scale back its operations at its Catlin Mountain mine as the industry faces pressure from weak prices and lower-than-expected demand from China.

SMM10, March 24-Australian lithium miner GalaxyResourcesLtd said Thursday it will scale back its operations at its Catlin Mountain mine as the industry faces pressure from weak prices and lower-than-expected demand from China.

Galaxy said in a statement that it was reviewing the operation of (Mt Cattlin) in Mount Catlin and expected its production to be reduced by about 40 per cent.

Rio Tinto said the US-China trade dispute and lower-than-expected economic growth in China had had an impact on the overall economic outlook and short-term sentiment in the electric vehicle and lithium-ion battery markets.

Weak production of new energy vehicles in China and weak production in the United States were the main nuclear causes of weak lithium demand in the third quarter of 2019.

Australian lithium producers have been cutting supplies in recent months because of plummeting prices. In June, China cut subsidies for electric vehicles and raised the standard for new energy vehicles eligible for subsidies.

Galaxy said the review would help the company ensure that Mount Catlin continues to create positive operating margins and extend the life of the mine.

Galaxy cut the upper limit of its annual production guidance to 193000 dry metric tons of lithium concentrate, down from 210000 tons per ton.

"Click to sign up for the Lithium Power Industry chain Summit

Scan QR code and apply to join SMM metal exchange group, please indicate company + name + main business

 

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM's internal database model. They are for reference only and do not constitute decision-making recommendations.

For any inquiries or for more information, please contact: lemonzhao@smm.cn
For more information on how to access our research reports, please contact:service.en@smm.cn
Related News
West Africa's Largest Lithium Processing Plant Starts Operations
9 hours ago
West Africa's Largest Lithium Processing Plant Starts Operations
Read More
West Africa's Largest Lithium Processing Plant Starts Operations
West Africa's Largest Lithium Processing Plant Starts Operations
West Africa's largest lithium processing plant has officially commenced operations in Nigeria's Nasarawa State. The facility has a designed processing capacity of 6,000 tonnes of lithium ore per day, equivalent to around 30,000 tonnes of lithium carbonate equivalent (LCE) annually. The project is operated by Diamond Energy Group, with Jiuling Lithium and Tianhua New Energy each holding a 50% stake.
9 hours ago
[SMM Analysis] Indonesia's May Sulphur and Sulphuric Acid Import and Export Data
12 hours ago
[SMM Analysis] Indonesia's May Sulphur and Sulphuric Acid Import and Export Data
Read More
[SMM Analysis] Indonesia's May Sulphur and Sulphuric Acid Import and Export Data
[SMM Analysis] Indonesia's May Sulphur and Sulphuric Acid Import and Export Data
[SMM Analysis] Indonesia's May Sulphur and Sulphuric Acid Import and Export Data
12 hours ago
Samsung SDI's "Contrarian Gamble": Betting 2.5 Trillion Won on Next-Generation Batteries to Rewrite the Global Energy Landscape [SMM Analysis]
13 hours ago
Samsung SDI's "Contrarian Gamble": Betting 2.5 Trillion Won on Next-Generation Batteries to Rewrite the Global Energy Landscape [SMM Analysis]
Read More
Samsung SDI's "Contrarian Gamble": Betting 2.5 Trillion Won on Next-Generation Batteries to Rewrite the Global Energy Landscape [SMM Analysis]
Samsung SDI's "Contrarian Gamble": Betting 2.5 Trillion Won on Next-Generation Batteries to Rewrite the Global Energy Landscape [SMM Analysis]
[SMM Analysis: Samsung SDI’s “Contrarian Big Bet” — 25 Trillion Won Staked on Next-Generation Batteries Could Rewrite Global Energy Landscape] Samsung SDI disclosed a regulatory filing on July 3, announcing an investment of approximately 16 trillion won (about 88 billion yuan) into its Ulsan plant by 2040, to build large-scale production sites for all-solid-state batteries, LFP batteries for ESS, and sodium-ion batteries. A day earlier (July 2), the company had announced an investment of 9 trillion won into its Cheonan plant, for setting up a mother production line for next-generation battery technology verification and R&D facilities. Combined, the two investments total 25 trillion won, spanning a period of 14 years and lasting until 2040.
13 hours ago
Australian Galaxy Resources reduces Lithium production - Shanghai Metals Market (SMM)