Australia's Sayona Mining to undertake review of North American Lithium ops (updated)

Elevra Lithium

24/01/2024 23:20

(Updates with further details and background throughout)
       Jan 25 (Reuters) - Australia's Sayona Mining  SYA.AX 
said on Thursday it is conducting an operational review of its
North American Lithium operation to optimise its cost structure,
in response to the persistent drop in prices of the key battery
metal.
    Sayona is following in the footsteps of Australian battery
producers that have been hampered by a sharp plunge in nickel
and lithium prices in recent months due to slower-than-expected
electric vehicle demand. 
    On Wednesday, Pilbara Minerals  PLS.AX  said it was focusing
on cost-cutting measures to preserve cash, but will go ahead
with its expansion plans. 
    Meanwhile, Liontown Resources  LTR.AX  on Monday flagged it
may delay the planned ramp-up and expansion of its flagship
Kathleen Valley lithium project following a decline in prices.
    As part of Sayona's review, the CEO of the company's Québec
unit Guy Belleau left his position, and an additional 14 staff
have been made redundant.
    "This review of our Québec operations is focusing on
reducing our cost base, enhancing productivity and improving
Sayona's ability to continue to produce lithium throughout the
market cycle," Sayona's interim CEO James Brown said. 
    Sayona expects to complete the review by the end of the
first quarter of 2024.

 (Reporting by Shivangi  Lahiri in Bengaluru; Editing by Krishna
Chandra Eluri)
 ((Shivangi.Lahiri@thomsonreuters.com;))