Latrobe Magnesium (ASX:LMG) Shares Fall: What's Behind the Drop?

Sonal Goyal

13 November 2026 02:46 PM AEDT

Latrobe Magnesium (ASX:LMG) Shares Fall: What's Behind the Drop?

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Key Highlights

Latrobe Magnesium shares were trading at $0.013 during the 13 November 2026 session, down 7.14%.
The Phase 1B pyrometallurgical plant is 98% installed, and overall commissioning has reached 50%.
The company is on track to produce magnesium metal crowns above 98% magnesium by the end of 2026.

During the Trading session on 13 November 2026, Latrobe Magnesium Ltd (ASX:LMG) shares were trading at $0.013, down 7.14%, while the S&P/ASX 200 was down 0.73% at 9,079.70 at 12:39 pm AEDT. Latrobe is developing a magnesium metal production plant at its Latrobe Valley Demonstration Plant in Victoria. Its latest update was a monthly project update dated 2 November 2026.

Installation and commissioning

Installation of the Phase 1B pyrometallurgical plant is 98% complete, with only minor works outstanding that do not affect the commissioning critical path. Commissioning of the reduction furnace began in late October, with vendor representatives on site. Overall commissioning advanced from 25% at the end of September to 50% at the end of October.

Milestones and budget

The company remains on track to produce magnesium metal crowns above 98% purity by the end of 2026, and says the project is tracking within its original budget. Briquetting reagents and other work areas are also advancing through staged commissioning.

Sector context

Magnesium metal is used in aluminium alloys and die casting. New plants face a long commissioning process before reaching design output, and projects in this space are judged on purity, throughput and cost.

Risks investors are watching

The plant has not yet produced metal, and commissioning is only half complete. Product purity and throughput must be proven before the company can sell magnesium at scale. Any delay to the end-2026 milestone would extend the timeline for revenue, and the company will need funding to operate the plant.

What to watch ahead

Investors will look for the first magnesium metal crowns, the completion of commissioning across all work areas, and the next monthly update on progress against the end-2026 milestone.

Final Word

Latrobe's Phase 1B plant is nearly installed and half commissioned, with first metal targeted by the end of 2026. The next monthly updates will show whether commissioning stays on schedule.

FAQs

Q: How far along is the Phase 1B plant?

A: The plant is 98% installed and overall commissioning is at 50%.

Q: What milestone does the company target?

A: The company aims to produce magnesium metal crowns above 98% magnesium by the end of 2026.

Q: Is the project within budget?

A: The company says the project continues to track within its original budget.

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