Lithium Argentina (LAR) Q3 2025 earnings summary

Executive summary

• Achieved sustained production rates at Cauchari-Olaroz, operating above 80–90% capacity, with ongoing optimization to enhance efficiency and reduce costs.

• Launched the Pozuelos-Pastos Grandes (PPG) JV, consolidating assets to create a scalable lithium platform targeting 150,000 tpa LCE, leveraging hybrid DLE technology.

• Secured a $130 million six-year debt facility from Ganfeng to optimize capital structure, enhance liquidity, and support long-term growth.

• Received environmental approval for PPG Stage 1, enabling construction to begin in the second half of 2026.

• PPG Scoping Study confirms a scalable, low-cost, long-life lithium operation with significant expansion potential.

Financial highlights

• Q3 2025 revenue was $58–59 million, with an average realized price of $7,522 per tonne; cash costs per tonne rose 3% to $6,285–$6,322.

• Net loss for Q3 2025 was $64.5 million, mainly due to non-cash FX losses and prior period adjustments.

• Cauchari-Olaroz had $231 million of net debt and $64 million in cash as of September 30, 2025.

• Cauchari-Olaroz Stage 1 capex was $979 million; PPG Stage 1 capex is estimated at $1.1 billion, with full project capex at $3.3 billion.

Outlook and guidance

• Confident in meeting or exceeding 2025 production guidance of 30,000–35,000 tonnes LCE at Cauchari-Olaroz.

• PPG construction targeted for H2 2026, with first production before 2030; RIGI applications for PPG and Cauchari-Olaroz Stage 2 planned for H1 2026.

• Evaluating financing and partnership options for PPG, including debt, offtake, and strategic investors.

• Long-term lithium demand expected to remain strong, driven by EV and energy storage sectors.