Albemarle Corporation, a global leader in providing essential elements for mobility, energy, connectivity and health, announced it has launched a comprehensive review of its cost and operating structure, as well as immediate asset actions at its Kemerton lithium processing site in Australia. 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.
Albemarle's actions regarding Kemerton are part of a broader effort that will focus on the following key areas:
Preserving Albemarle's world-class resource advantages
Optimizing its global conversion network
Improving the company's cost competitiveness and efficiency
Reducing capital intensity
Enhancing Albemarle's financial flexibility
These actions are part of the company's comprehensive review of its cost and operating structure. The company expects to report more details during its third quarter earnings call.
"The long-term growth potential for our end markets remains strong, and we plan to leverage our core capabilities while ensuring we remain competitive," said Albemarle Chairman and CEO Kent Masters. "Given the dynamics of the global markets we serve, we must be able to pivot and pace as necessary to maintain our leading position."
As part of the initial review to optimize its network, Albemarle announced changes to the operating footprint at its Kemerton lithium hydroxide conversion site in Australia.?The company will:?
Stop construction activities at Train 3
Idle production at Train 2 and place the unit in care and maintenance
Focus manufacturing efforts on the continued ramp and qualification of Train 1
In a separate press release issued today, Albemarle released its second quarter 2024 earnings results. The company will provide further details on its conference call to discuss its second quarter financial results at 8 a.m. EDT on Thursday, Aug. 1, 2024.
