Diversification
Extracting greater value from the battery materials supply chain by diversifying revenue streams is a key strategic focus for PLS in line with our ambition to become a fully integrated battery materials supplier.
Mid-Stream Demonstration Plant
Located at PLS’ Pilgangoora Operation, the Mid-Stream Demonstration Plant is designed to validate the production of a lithium-enriched mid-stream product using electric flash calcination technology, with the potential to reduce the carbon intensity of hard rock lithium processing when powered by renewable energy.
Once fully operational, the plant is designed to process approximately 27,000 tonnes (t) of spodumene concentrate per annum to produce approximately 3,000t of lithium phosphate, a key material used in lithium-ion batteries for electric vehicles and energy storage applications.
Project status
Construction of the Project was completed in the December Quarter 2025 and commissioning commenced in April 2026. First product is expected in the September Quarter 2026.
Funding support
The Mid-Stream Demonstration Plant Project has received $38.1M in grant funding from the Australian Renewable Energy Agency (ARENA) under its Advancing Renewables Program to support operating costs during the validation phase.
The project received $20M from the Australian Government under the Modern Manufacturing Initiative and a $15M contribution from the Western Australian Government under the Investment Attraction Fund to support the construction of facility.
Project structure
PLS has completed the restructure of the Mid-Stream Demonstration Plant, following the previously announced agreement with Calix Limited. Completion occurred on 26 April 2026.
As a result of the restructure, PLS now has full ownership and operational control of the Mid-Stream Demonstration Plant, simplifying governance and aligning funding, risk and execution.
Calix remains a key technology partner to the project and will continue to support the Mid-Stream Demonstration Plant through technical services and ongoing collaboration.
Joint Downstream Partnering Study
PLS and Ganfeng signed a binding term sheet in March 2024, agreeing to complete a joint Feasibility Study for a potential downstream conversion facility to produce lithium chemicals.
The study will consider a conversion plant with capacity to produce ~32,000 tonnes per annum of lithium carbonate equivalent of lithium chemicals (hydroxide and/or carbonate) along with a potential intermediate lithium chemical facility in Australia, leveraging Ganfeng’s extensive experience as a lithium chemical converter.
Operating costs, capital costs, fiscal incentives, and overall economics of a potential lithium chemicals plant in various jurisdictions together with a qualitative assessment of other relevant factors including ESG, permitting timeline and supply chain logistics will be considered as part of the study.
Location assessment will focus on an agreed list of countries, including Australia where PLS’ flagship Pilgangoora Operation is located, to explore greater geographical diversification in the battery chemicals supply chain.