IGO has presented its 2024 strategy, outlining a forward-looking plan to enhance its role in the global energy transition.
The comprehensive strategy, detailed in the presentation by managing director and chief executive officer Ivan Vella, focuses on capitalising on the growing demand for battery materials and reinforcing the company’s commitment to sustainability.
“The global energy transition is happening, with electrification at its core,” Vella said. “To drive the transition, the world is going to need to discover and deliver a lot more battery materials.
“This is where IGO has a significant role to play.”
Under its new strategy, IGO will concentrate on upstream mining to maximise value through the mining cycle.
The company plans to build a diversified portfolio with exploration, development, and operational assets in lithium, copper, and nickel.
A key focus will be the lithium sector, where IGO will leverage its existing joint venture and further develop its commercial capabilities.
The Greenbushes lithium project in Western Australia, noted for its strong margins, will remain a central asset in IGO’s portfolio.
Greenbushes had a spodumene concentrate production of 1.38 million tonnes (Mt) at a production cost of $US330 per tonne in the 2023–24 financial year (FY24).
IGO said it’s a clear pathway to 2.0Mt installed processing capacity in CGP3 which is expected to be commissioned in the September quarter.
IGO said it aims to maximise the potential of their lithium business through the TLEA joint venture.
Within the next few years, the company aims to help resolve the economic pathway for the Kwinana Refinery and to be able to partner with another company to develop technology for improved upstream lithium extraction and processing.
The company’s medium term strategic objectives is to build the pipeline in exploration, development and operations.
It aims to gain recognition globally as a relevant player in the lithium industry through its TLEA partnership and to optimise its IGO playbook.
The strategy emphasises disciplined decision-making, efficient capital allocation, and robust governance, all while maintaining a strong commitment to sustainability.
“We have a great platform, healthy balance sheet and strong cash generation from our exposure to Greenbushes, the best hard-rock lithium asset in the world that can generate strong margins through the cycle,” Vella said.
“We will be highly focused on returns, efficient capital allocation, disciplined decision making, strong governance and great operating performance, underpinned by our ability to operate with the highest level of sustainability.”
This strategic update positions IGO to leverage its strengths and capitalise on emerging opportunities in the battery materials sector, reinforcing its role in the energy transition and its commitment to sustainable practices.
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