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Jun 30, 2024
Piedmont Lithium Q2 2024 Earnings Report
Piedmont Lithium reported Q2 2024 results, achieving steady-state production at NAL and shifting shipments to contract customers.
Key Takeaways
Piedmont Lithium reported Q2 2024 financial results, with revenue of $13.2 million from sales of approximately 14,000 dmt of spodumene concentrate. NAL achieved steady-state production in June 2024, with record quarterly production, lithium recovery, and mill utilization.
NAL set quarterly records in Q2 2024 for production (up 23% QoQ), lithium recovery (68%), and mill utilization (83%).
NAL achieved steady-state production in June 2024; H2 2024 production forecast supports Piedmont shipping guidance.
Piedmont revenue of $13.2 million on sales of approximately 14,000 dmt of spodumene concentrate in Q2 2024.
Carolina Lithium mining permit received in Q2 2024 from the state of North Carolina, renewing funding discussions.
Piedmont Lithium
Piedmont Lithium
Forward Guidance
Piedmont expects to ship approximately 96,500 dmt of spodumene concentrate in H2 2024. Capital allocations and investments in affiliates are anticipated to be modest given the completion of the NAL ramp-up and expected timing of Ewoyaa development.
Positive Outlook
- NAL achieved full run-rate production in June 2024.
- Piedmont has the right to purchase the greater of 50% of production or 113,000 dmt/year under its offtake agreement with Sayona Quebec.
- Piedmont expects to ship approximately 126,000 dmt of spodumene concentrate in 2024.
- Piedmont is targeting approximately 96,500 dmt of spodumene concentrate shipments in H2 2024; forecasted NAL production supports the shipping guidance.
- We are prioritizing contract customer shipments and structuring spot shipments to limit downside exposure.
Challenges Ahead
- Quarterly shipping targets are rounded to the nearest thousand tons and may not total to 126,000 dmt due to rounding.
- A shipment totaling approximately 14,000 dmt was delayed from late Q2 2024 to early Q3 2024.
- Our outlook for forecasted capital expenditures and investments in and advances to affiliates is subject to market conditions.
- Approvals at Ewoyaa are ongoing.
- We expect modest capital expenditures in H2 2024, mainly related to Carolina Lithium.