Mining company Liontown Resources has delivered strong results for the December 2024 quarter, despite challenges posed by a weak pricing environment.

MD and CEO Tony Ottaviano said in a statement on Tuesday that the company remained focused on its long-term goal of creating a world-class lithium business that delivered sustained value for shareholders.

During the quarter, the Kathleen Valley lithium operation continued its ramp-up, achieving significant milestones in production and sales. Liontown shipped 81 341 dry metric tonnes (dmt) of spodumene concentrate, contributing to net cash from operating activities of A$16.7-million and cash reserves of A$192.9-million as of December 31, 2024.

Since the commencement of production in late July, the operation has produced 116 854 dmt of spodumene concentrate, with an average grade of 5.2% lithium oxide.

“Our performance this quarter reinforces that Liontown is firmly on track to achieve its ambition of becoming an established world-class producer in the lithium sector,” said Ottaviano. “In just five months, with over 100 000 t of concentrate safely produced and shipped, Liontown has started exceptionally well in creating a lithium business that delivers significant long-term value for shareholders.”

The quarter also marked a key milestone with the delivery of the first shipment to foundational customer LG Energy Solution, alongside shipments to existing offtake partners and spot-sale customers. Total sales revenue reached A$89.8-million, a dramatic increase compared to A$11.6-million in the previous quarter.

In addition to spodumene production, the company successfully commissioned its tantalum circuit in October, producing 246 dmt of saleable tantalum concentrate. These achievements align with Liontown’s strategy of building stockpiles to support its planned underground mining transition in the 2026 financial year.

While the lithium market faces low-price challenges, Liontown is focusing on continuous improvement and optimisation. The company is progressing the ramp-up of its processing plant, preparing for underground stoping, and working to enhance plant performance.