Sayona Reports A$153M Revenue, Targets Up to 230kt Spodumene Concentrate in FY25
Sayona Mining reports solid FY25 operational gains and outlines strategic merger progress with Piedmont Lithium, positioning itself as a leading North American lithium producer amid a recovering market.
- FY25 revenue reaches A$153 million with increased production metrics
- Merger with Piedmont Lithium progressing, forming Elevra Lithium
- Drilling results support resource expansion at North American Lithium and Moblan projects
- FY25 spodumene concentrate production guidance set between 190,000 and 230,000 dry metric tonnes
- Lithium market outlook remains positive with price recovery and strong demand growth
Operational Performance Highlights
Sayona Mining Limited has delivered a robust operational and financial update for the fiscal year 2025, reporting revenue of A$153 million. The company’s North American Lithium (NAL) operation demonstrated strong production metrics, with concentrate production increasing by 38% year-to-date to 146,324 dry metric tonnes. Mill utilization and lithium recovery rates have improved steadily, reflecting operational efficiencies despite some seasonal weather impacts earlier in the year.
Unit operating costs are forecast between A$1,150 and A$1,300 per dry metric tonne, aligning with industry competitive benchmarks for hard-rock lithium producers. The company’s disciplined approach to capital expenditure and exploration, supported by flow-through share funding, underpins its ongoing resource expansion efforts.
Merger Progress and Strategic Positioning
Sayona is advancing its merger with Piedmont Lithium, a move set to create Elevra Lithium, North America’s largest lithium producer by consolidated resource base. The merger promises enhanced market positioning, operational synergies, and a unified corporate structure with equal Sayona representation on the board. Regulatory approvals are progressing well, with key jurisdictions including Canada, the United States, and Australia under review.
The combined entity will benefit from consolidated ownership of critical lithium assets such as NAL and the Moblan Lithium Project, both showing promising drilling results that support resource growth. The merger is expected to unlock capital synergies and accelerate project development timelines, positioning Elevra Lithium to meet growing demand in the electric vehicle and energy storage sectors.
Resource Expansion and Project Updates
Drilling campaigns completed in 2024 have significantly bolstered resource estimates at both NAL and Moblan, with infill and extension drilling confirming high-grade lithium mineralisation beyond previous estimates. The upcoming Mineral Resource Estimates (MRE) scheduled for release in 2025 are anticipated to reflect these gains, further enhancing project valuation and development potential.
Sayona’s flagship Moblan project benefits from proximity to established infrastructure and a skilled local workforce, factors that support cost-effective expansion. Meanwhile, NAL continues to deliver steady-state production with plans for brownfield expansion studies underway, aiming to reduce operating costs and increase output.
Lithium Market Outlook
The lithium market environment remains favourable, with demand driven by electric vehicle adoption and stationary energy storage systems. Prices for spodumene concentrate have rebounded from multi-year lows, supported by a contango futures market that provides price visibility and hedging opportunities for future sales volumes.
Benchmark Mineral Intelligence and other market analysts forecast sustained lithium demand growth through 2030, with North America seeking to reduce reliance on foreign supply amid geopolitical and energy security concerns. Elevra Lithium’s positioning as a major domestic producer aligns well with these strategic imperatives.
Bottom Line?
As Sayona and Piedmont move closer to merger completion, investors will watch how operational gains and market dynamics translate into long-term value for Elevra Lithium.
Questions in the middle?
- How will the merger impact Elevra Lithium’s access to capital and project financing?
- What are the risks to achieving FY25 production guidance amid operational and regulatory uncertainties?
- How might evolving lithium market prices and demand trends affect future project expansions?
