AUS
NZ
UK
CA
USA
FRA
GER
ESP
ITA
NLD
PRT
SWE
GRC
IND
POL
BRA
ZAF
RUS
CHN
UAE
Highlights
- Pilgangoora lithium resource boosted by 23%
- Strategic drilling drives tonnage and grade gains
- Reinforces leadership in global lithium supply chain
Pilbara Minerals (ASX:PLS) has reported a substantial upgrade to its lithium resource at the Pilgangoora operation in Western Australia, marking a 23% increase in contained lithium. This development enhances the company's stature as a major player in the global lithium market and supports its presence in the S&P/ASX200 index.
Major Resource Upgrade
The new mineral resource estimate incorporates the results of an extensive drilling campaign across FY24 and FY25, adding 39 million tonnes to the measured, indicated, and inferred resource categories. The total resource now stands at 446 million tonnes (Mt) at an average grade of 1.28% lithium oxide (Li₂O), 122ppm tantalum pentoxide, and 0.59% iron oxide. This translates to 5.7Mt of lithium oxide and 120 million pounds of tantalum pentoxide.
Key Drivers of Growth
The increase in lithium content stems from a 10% rise in tonnage, a 12% improvement in grade, and a 14% boost in the measured and indicated categories. Drilling targeted down-dip extensions over a 7-kilometre strike length, uncovering new mineralised zones and expanding existing ones.
The updated measured and indicated mineral resource alone totals 376Mt at 1.29% Li₂O, containing 4.8Mt of lithium oxide and 99 million pounds of tantalum pentoxide—further elevating Pilbara’s project scale and quality.
Strategic Positioning
Company leadership emphasised that the upgrade aligns with a broader strategy to enhance the operational foundation of the Pilgangoora asset. The project continues to be one of the world’s largest hard-rock lithium operations, contributing significantly to Australia’s role in the clean energy transition.
The resource expansion reinforces Pilbara Minerals' resilience in navigating current market cycles while maintaining the flexibility to scale operations as demand recovers. With mineralisation still open at depth and along strike, especially in areas such as the “bridge zone” between the Central and North areas, additional growth potential remains untapped.
Broader Market Impact
As one of the key lithium producers within the ASX200, Pilbara Minerals' strong performance not only enhances investor confidence in the company but also supports broader themes in resource investment across the Australian equity market.
In addition, companies involved in lithium and battery supply chains are gaining traction among those exploring ASX dividend stocks, particularly as long-term prospects for electric vehicles and renewable energy storage remain robust.
