Following the announcement of Piedmont Lithium Inc.’s (NASDAQ: PLL) third-quarter financial results for 2024, shares of the lithium mining company surged. As of the latest market assessment, PLL’s stock price rose by 8.77%, reaching $13.21. The company’s robust Q3 performance, driven by substantial spodumene shipments and strategic cost efficiencies, has attracted positive market attention.
Impressive Shipment and Revenue Growth
In Q3 2024, Piedmont shipped approximately 31,500 dry metric tons (dmt) of spodumene concentrate, with a lithium oxide (Li2O) content of roughly 5.4%. This generated $27.7 million in revenue, with a realized price per ton of $878, positioning the company favorably compared to industry peers.
The projected shipments will be directed primarily towards long-term customers, minimizing market volatility risk. Production at the North American Lithium (NAL) facility underpins these goals, further strengthening Piedmont’s shipment outlook for the quarter.
Record Production Levels at North American Lithium
The North American Lithium (NAL) mine, currently North America’s largest operating spodumene mine, achieved another record-breaking quarter following its transition to steady-state production in June 2024. NAL produced around 52,100 dmt of spodumene concentrate in Q3, a 5% increase from Q2. Operational efficiency also improved, with mill utilization reaching 91%, attributed to recent infrastructure upgrades.
This operational improvement helped reduce unit operating costs by 15% to $729, excluding inventory movement impacts. In addition, Sayona Mining Limited, Piedmont’s joint venture partner at NAL, announced an increase in the mineral resource estimate, enhancing the value of the operation.
Expansion of U.S. and Ghana Projects
Piedmont’s Carolina Lithium project in North Carolina remains central to its U.S. growth strategy, following the recent state mining permit approval and the redirection of proposed lithium conversion capacity from Tennessee to North Carolina. PLL is advancing its air permit application with North Carolina’s Division of Air Quality, targeting up to 60,000 tons of lithium hydroxide production annually.
Additionally, modifications to the Inflation Reduction Act’s manufacturing credit (45X) could improve the economic viability of this project. Meanwhile, Piedmont’s Ghana-based Ewoyaa Lithium Project has received critical regulatory approvals, including an environmental permit and a mine operating permit, paving the way for further project development pending parliamentary ratification and financing. These advancements underscore Piedmont’s (PLL) global footprint and commitment to meeting the growing lithium demand.