BRIEF: Tianqi Lithium returns to profit in first quarter
Lithium miner Tianqi Lithium Corp. （9696.HK; 002466.SZ）announced on Wednesday it expects to report a net profit of between 82 million yuan（$11.24 million）and 123 million yuan for the three months through March, reversing a net loss of 3.89 billion yuan in the same period last year.
The company attributed the improved performance to a shortened pricing cycle at its majority-owned subsidiary, Windfield Holdings. It added that a previous timing mismatch between the pricing mechanism of its Talison Lithium subsidiary for chemical-grade spodumene concentrate and the company’s lithium chemical product sales pricing mechanism has significantly diminished. Technical upgrades at Tianqi’s own plants also led to year-on-year growth in both production and sales of lithium compounds and derivatives in the first quarter.
Tianqi’s Hong Kong-listed shares opened 5.5% higher on Thursday, closing at HK$22.7 by the midday break, up 4.13%.
By Lee Shih Ta
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