Tianqi Lithium Expects Steep Losses, Halts Australian Expansion Amid Market Downturn
Tianqi Lithium Corp. has projected a substantial net loss of up to 8.2 billion yuan ($1.1 billion) for 2024, prompting the suspension of an expansion project in Australia. The company cited an ongoing decline in battery metals markets as the primary driver.
Despite increases in production and sales of lithium products, Tianqi witnessed a significant drop in operating profitability due to a slump in lithium prices. The company also anticipates a sharp decline in income from its investment in Chilean lithium producer Sociedad Química y Minera de Chile.
In response, Tianqi has decided to halt construction on a second production line at its Kwinana lithium refinery in Western Australia, co-owned with Australian miner IGO Ltd.