Pilbara Minerals just sold the most expensive cargo of lithium spodumene ever

Pic: Schroptschop / E+ via Getty Images
Pilbara Minerals’ (ASX:PLS) third auction on the Battery Material Exchange (BMX) digital platform for 10,000t (SC5.5%) spodumene went off at a record $US2,350/t.
It outshines auction two on September 14, which went off at a then-incredible $US2,240/t to singlehandedly spark a historic 86.5% month-on-month increase for average spod pricing industry-wide.
The average price for SC6% cargoes this time last year was ~$US380/t.
In the December half of 2020 – when pricing was still weak — Pilbara Minerals sold 114,239t of spodumene concentrate in contracts for revenues of ~$59m.
It has now raked in ~$US54m alone from these three spot cargoes totalling 28,000t.
“As with the previous two auctions, strong interest was received in both participation and bidding by a broad range of buyers,” Pilbara Minerals says.
“Parties placed 25 bids online during the 45-minute auction window, with the Company considering the bidding to be very strong in light of the deferred delivery date.”
Price was for 10kt, 5.5% Li2O basis (min. 5.2%), fob Port Hedland, shipment in Feb ’22. That’s longer-dated than the last two auctions. Wonder if price would have been even higher for prompt shipment given the current market tightness?
— Peter Hannah (@PHmetals) October 26, 2021
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