Pilbara Minerals (PLS) chief executive officer Dale Henderson has again backed his company on the open market, spending $1.01 million on shares.
According to ASX filings released on Monday, Henderson acquired 755,000 PLS shares at $1.34 each last week. The purchase follows a $1.1 million buy-up in December, when he acquired 500,000 shares at $2.23 apiece.
The move comes amid a continued lithium downturn, but Henderson’s investment appears to reflect his long-term faith in the company’s strategy and broader outlook.
“Lithium is still a young and rapidly evolving market, fuelled by technological breakthroughs, government policies, and the global shift toward cleaner energy, so short-term pricing volatility is to be expected,” Henderson told Australian Mining.
“We’re currently witnessing a rebalancing of the market with production curtailments across the sector. Pricing at its current level is unprofitable and unsustainable for the majority of raw material producers, which could potentially lead to even further cuts in production.”
The purchases coincide with PLS’ transition from a growth to optimisation phase as it ramps up its P1000 expansion project at the Pilgangoora operation in Western Australia.
“Construction of the P1000 expansion project was completed in January, marking the end of a transformational two-year investment cycle,” Henderson said.
“Ramp up is now complete and we’re entering the optimisation phase of the project with a focus on achieving higher production volumes and lower unit cost.”
The expansion lifts nameplate capacity at Pilgangoora to around one million tonnes per annum, positioning PLS for greater efficiencies when the market rebounds.
“We’re preparing our operation and business for this future state by preserving our current position and maintaining our options for future growth,” Henderson said.
Henderson’s repeated share purchases send a strong signal of confidence as PLS looks to ride out current headwinds and maintain its position as global lithium leader.
