Tianqi Lithium said on overseas platforms Wednesday that it is open to discussions regarding its joint venture partner IGO's potential stake reduction in the Kwinana lithium refinery in Western Australia. As Australia's first lithium hydroxide plant, the refinery has faced persistent operational challenges and production delays amid a slump in lithium prices. Last month, IGO wrote down the value of the loss-making refinery and expressed low confidence in turning it around.
The two companies also jointly own the Greenbushes lithium mine, one of the world’s premier lithium assets. When asked whether Tianqi would consider IGO exiting the Kwinana project while retaining its stake in Greenbushes, Tianqi indicated that the two assets are linked and explicitly ruled out bringing in other partners for the Kwinana refinery.
The operational efficiency at Kwinana is currently improving, and the company has no plans to shut down the refinery. It remains committed to achieving the full nameplate capacity of 24,000 tons per year, with a target of reaching 65% utilization by next year.