PLS Group Ltd. has exceeded its fiscal 2026 production guidance and expects higher spodumene concentrate production of between 1,030 kt to 1,100 kt for the fiscal year ending June 30, 2027.
The company reported that all operational and financial metrics for fiscal 2026 met or exceeded guidance. Production of 879.5kt exceeded the top end of guidance, driven by record March quarter production.
PLS said 2027 will be a defining year for the company. The projected production lift at the Pilgangoora Operation in Western Australia is set to be driven by the July restart of the Ngungaju processing plant, which is expected to reach its normalised run rate within the first four months of the financial year.
While September quarter production is anticipated to be lower during the initial ramp-up, output will stabilise over the remaining quarters, supported by four scheduled maintenance shutdowns.
PLS Group expects unit operating costs (FOB) for fiscal 2027 to land between AU$575 and AU$625 per tonne. The marginal cost increase from 2026 reflects higher relative operating expenses associated with the Ngungaju restart, which management expects to deliver strong shareholder returns in current market conditions.
Capital expenditure for fiscal 2027 is structured across several core operational streams, namely AU$85 million to AU$100 million for maintenance and efficiency upgrades across both operating plants.
The company will also allocate AU$250 million to AU$280 million to support new mining areas, requiring a 50 per cent increase in material movement for capitalised cutbacks over a planned two-year cycle.
Meanwhile, AU$110 million to AU$130 million will be set aside for operational efficiencies, including mine facilities, water infrastructure, and a crushed ore stockpile dome cover.
Growth capital expenditure includes AU$175 million in approved pre-FID funding for the P2000 Project, providing optionality to expedite first ore subject to a potential final investment decision in the December quarter.
The company is also evaluating a potential pre-FID investment at its Colina Project, which is not currently embedded in 2027 guidance.
