Pilbara Minerals Ltd T.PLS

Primary Symbol: PILBF

Metals & Mining Industrial Metals & Minerals

Pilbara Minerals Limited is an Australia-based lithium company. The Company is primarily engaged in the exploration, development, and mining of minerals in Australia. Its 100% owned Pilgangoora hard-rock lithium operation is located approximately 120 kilometers (kms) from Port Hedland in Western Australia’s resource-rich Pilbara region. The operation consists of two processing plants: the Pilgan Plant, located on the northern side of the Pilgangoora area and produces spodumene and tantalite concentrates, and the Ngungaju Plant is located to the south produces spodumene concentrate. It owns 70% of the Mt Francisco project, which is located 50 km south-west of the Pilgangoora Project and hosts the large occurrence of outcropping pegmatites located nearby to Port Hedland. It is also pursuing a proposed downstream joint venture (JV) for the development of an approximately 43,000 tons per annum (tpa) lithium carbonate equivalent (LCE) lithium chemical conversion facility in South Korea.

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Pilbara Minerals Ltd > CEMEX Q3 2014 - read into product pricing in California

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Comment by aggmanon Oct 23, 2014 5:07pm

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Post# 23056189

RE:CEMEX Q3 2014 - read into product pricing in California

agg volumes up +1% 2014q3 v 2014q2

europe (germany and Med), Asia - both challenged
- the fact these markets are weak give added incentive to be stronger in the US, IMHO
- and also because in 2017 they have $3.865BN due; or $2.785Bn on the proforma slide (highest in 10 year debt profile) -> meaning they have to be high performers in next 2-3 years to meet debt obligations -> meaning their incentive to push price in the US is very strong.

OUTLOOK 2014 and Q&A
- vols: mid-single digits
- very committed to pricing (even if ceding market share)
- "not presenting offer for Lafarge-Holcim assets" (dont need additional assets to create value for their shareholders)
- US pricing - H1 traction good, H2 traction good, 2015 (Jan, April) - California (April +$16.5/ton, TX - April $16.5/ton, FL Jan $11-16.5/ton) feel very comfortable with these levels based on supply and demand - and also they have seen their competitors announcing similar price increases.
- have announced 2015 summer and fall price increases (smaller in nature)

Aggman comment: Strong - $16.5/ton - and announcing fall price increases 1 year in advance. Approx. 15% price increase.