Liontown Resources

Liontown Resources posted its first annual net profit, driven by a recovery in lithium prices, and the stock rose more than 4 percent in Sydney. Asian markets were generally cautious on Monday after US central bank chief Kevin Warsh’s hawkish appearance, which markedly increased the likelihood of a rate hike in September. Additional pressure came from geopolitical tensions in the Middle East and rising oil prices. » More on finanzen.net

Liontown presented a more constructive outlook on the lithium market at the Diggers & Dealers conference; CEO Tony Ottaviano highlighted stronger demand for spodumene, improved operational performance at Kathleen Valley and early expansion works. Liontown's stock rose more than 4% and triggered buying across the sector, with Pilbara, Core Lithium as well as IGO, Mineral Resources, Argosy and European Lithium also recording notable gains. The rally came despite falling lithium spot prices (around 140,000 yuan/tonne, down about 15% from the previous month) and was supported by hopes of stronger battery demand in China and bargain hunting after the prior sell-off. » More on de.investing.com

After a recovery in spodumene prices, Liontown is shifting from a capital-sparing to a growth strategy and plans a phased expansion of the Kathleen Valley mine. The company held $560m in cash at the end of June, aims to ramp up to 2.8mtpa by the end of fiscal 2027, and plans seven new mining benches, a larger vehicle fleet and debottlenecking of the plant. Management stresses a capital-efficient rollout, continued spending discipline and the option to scale back investments if market conditions weaken. » More on de.investing.com