Liontown Resources Ltd (ASX: LTR) shares are having a good session.
In morning trade, the lithium miner's shares are up 3.5% to 90 cents.
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Why are Liontown shares storming higher?
The company's shares are on the move this morning after it released an announcement prior to its appearance at an investor conference.
According to the release, Liontown has achieved additional production milestones at its Kathleen Valley Lithium Project in Western Australia.
These are the first underground development ore mined and the first spodumene concentrate delivered to port. These milestones follow the achievement of first production through the entire Kathleen Valley value chain, which was announced last week.
Development ore mined
Liontown advised that first ore from underground at Mt Mann was extracted in the first week of August, which it believes represents another significant milestone. Importantly, as has been the case with the development of the project, this was delivered to schedule.
It also notes that since the commencement of underground operations in November, more than 4,000 development metres have been advanced.
Its tier-1 contractor, Byrnecut, has been pivotal in driving substantial progress, productivity, and efficiency. Liontown anticipates the first production of ore from the stoping cycle by the end of calendar year 2024.
Supply chain milestone
Liontown was also celebrating the load and dispatch of approximately 145 tonnes of spodumene concentrate by truck from Kathleen Valley to the Port of Geraldton.
It notes that concentrate will be stockpiled at a dedicated Qube Holdings Ltd (ASX: QUB) storage shed at the Port of Geraldton ahead of the first shipment, which is planned for later this quarter. The haulage and storage of the spodumene concentrate is being managed by Qube.
Management commentary
Commenting on the company's impressive progress, Liontown's managing director and CEO, Tony Ottaviano, said:
Just a week after achieving first production, the first truckload of spodumene concentrate has been successfully dispatched to Geraldton Port. This rapid progression underscores the momentum we are building as we transition from construction to production.
Additionally, hitting our first development ore milestone at Mt Mann demonstrates our continued operational success, and strengthens our position as a leading emerging global supplier of battery minerals. We look forward to advancing our long-term strategy and supporting the transition to a low-carbon future.
Unfortunately, despite the strong progress the company has made over the last 12 months, Liontown's shares are down by two-thirds over the period.
