Australian lithium miner Pilbara Minerals has posted a strong June quarter, with a $656 million increase in cash to $3.3 billion despite volatile prices.
Lithium is rapidly becoming a global industry in the race for supplies to meet record demand for electric cars and clean energy equipment.
"We were an early mover and that was tough, but that has now flipped into the most incredible opportunity," managing director Dale Henderson told an investor teleconference on Tuesday.
"We continue to keep the foot down and the throttle jammed wide open.''
Shares in Australia's largest lithium miner surged 31 cents or 6.6 per cent to $4.90 in afternoon trade on record production.
Another strategic partner will be added this year for unallocated product from the P1000 Project at its fully owned Pilgangoora lithium mine.
Up to 300,000 tonnes a year of future annual spodumene concentrate production will go to this initiative, with dozens of potential partners vying for the deal.
"There are massive moves afoot around energy transition, of which of course lithium is a key enabler," Mr Henderson said.
"We're looking to develop and expand as rapidly as we can to make the most of the market."
The company said strong demand for the latest initiative was coming from a range of different potential partners, including lithium converters, battery and chemicals companies, cathode manufacturers and original equipment manufacturers that make parts for other brands.
Pilbara Minerals recorded a 10 per cent rise in total material mined in the quarter and a strong increase in concentrate production volume, but prices continue to disappoint market analysts.
Revenue was 18 per cent lower compared with the previous quarter, with a 33 per cent decline in the average realised selling price. This was offset by sales volume increases, with FY23 revenue up 238 per cent to $4 billion.
The group has a long-term strategy to diversify from lithium raw materials to a fully fledged player in the global chemicals supply chain.
An existing downstream joint venture with South Korea's POSCO is on track, with commissioning expected within months.
Pilbara Minerals, with its joint venture partner Calix, said it also continued to progress a demonstration plant now in an advanced stage, with the final investment decision to be made soon.
After declaring the inaugural dividend six months ahead of schedule in February, Mr Henderson said he looked forward to delivering many good quarters for shareholders.
