Lithium Argentina AG reported its 2024 results, achieving 25,400 tonnes of lithium carbonate production. The company anticipates further production increases in 2025 with advancing technologies and expansions. Financially, it has reduced its debt and secured new credit facilities, enhancing its operational capacity and flexibility.
Lithium Argentina AG has published its fourth-quarter and full-year 2024 results, showcasing significant achievements at the Cauchari-Olaroz project, now Argentina’s top lithium carbonate operation. In 2024, production reached 25,400 tonnes, surpassing projections. The fourth quarter alone produced 8,500 tonnes, a 25% increase from the previous quarter and achieving 85% of the design capacity. In 2025, the company anticipates producing between 30,000 and 35,000 tonnes, with growth expected in the latter half following maintenance to optimize processes.
Operational costs for 2024 reached US$178 million, translating to cash operating costs of US$7,130 per tonne sold. However, in Q4, these costs improved to US$6,630 per tonne. For 2025, the company aims to maintain similar costs, forecasting sustaining capital expenditures between US$600 and US$700 per tonne.
Lithium Argentina is also focusing on technological advancements, specifically adopting a solvent-based direct lithium extraction (DLE) technique developed by Ganfeng Lithium Co. Ltd. This innovation is planned for integration into existing facilities, with a demonstration plant scheduled to commence operations by the end of 2025.
The expansion of Cauchari-Olaroz via Phase 2 aims to add 40,000 tpa of production capacity, utilizing both existing infrastructure and innovative processing technology. Additionally, the company plans to request inclusion in Argentina’s Large Investment Incentive Regime (RIGI) for this expansion.
On a regional scale, Lithium Argentina, in collaboration with Ganfeng, implements a development strategy incorporating projects in Salta, including Pozuelos-Pastos Grandes and majority stakes in Pastos Grandes (85%) and Sal de la Puna (65%). This initiative targets a combined production goal of up to 150,000 tpa of lithium carbonate through solar evaporation and DLE technology.
Financially, Lithium Argentina has reduced its project-level debt from US$350 million to US$210 million as of 2024. After relocating from Canada to Switzerland in January 2025, the company now operates under the name Lithium Argentina AG, listed on the TSX and NYSE as “LAR.” Moreover, it holds US$86 million in cash and equivalents and an undrawn US$75 million credit facility with Ganfeng. Its subsidiary, Minera Exar S.A., reported around US$210 million in debt and secured a favorable new US$150 million credit facility in early 2025, set to close in Q2, enhancing its financial positioning.
In summary, Lithium Argentina AG reported notable increases in lithium carbonate production and operational efficiency in 2024, alongside reductions in costs and debt. The company is making significant strides in technological advancements and regional expansions that aim to enhance production capacity and maximize efficiency. Financially, recent moves indicate improved flexibility and position the company favorably for future growth.
Original Source: www.panorama-minero.com
