Thwarted Liontown bidder Albemarle has pulled back on expansion...

Thwarted Liontown bidder Albemarle has pulled back on expansion plans at its Kemerton lithium hydroxide conversion site in Western Australia and will book a charge of up to $1.7bn, as the sector’s slowdown hits home.

About 300 Australian jobs are likely to be lost as a result of the miner’s decision to “proactively respond to ongoing industry headwinds”. 

Albemarle’s Kemerton manufacturing plant, near Bunbury in WA, produces technical and battery-grade lithium hydroxide for use in energy storage and other industrial applications. The company has told investors it will stop construction activities at Train 3, idle production at Train 2 and place the unit in care and maintenance while focusing manufacturing efforts on the continued ramp and qualification of Train 1.

“The company is taking these steps to proactively respond to ongoing industry headwinds, particularly in the lithium value chain, so it can preserve long-term competitiveness,” the group told investors.