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Highlights

  • Pilbara Minerals has announced a 23% increase in contained lithium at its flagship Pilgangoora Project in WA.

  • The total mineral resource now stands at 446Mt @ 1.28% Li₂O, reinforcing its position among the world’s largest lithium deposits.

  • Shares surged 10% to AUD 1.49, rebounding amid ongoing lithium market softness.

Shares in Pilbara Minerals Ltd (ASX:PLS) jumped 10% to AUD 1.49 on Wednesday morning, after the lithium miner revealed a substantial upgrade to the mineral resource at its 100%-owned Pilgangoora Operation in Western Australia.

The upgraded estimate, based on recent drilling campaigns, lifts the total resource size to 446 million tonnes at an improved grade of 1.28% lithium oxide (Li₂O) — up from the previous 1.15%. The deposit also includes 122 ppm tantalum pentoxide and 0.59% iron oxide, with a total of 5.7 million tonnes of contained lithium oxide. This positions Pilgangoora firmly among the world’s top-tier hard rock lithium projects.

Pilbara Minerals’ CEO Dale Henderson hailed the result as a key milestone in the company’s growth strategy, saying the expanded resource base “reaffirms our 100%-owned Pilgangoora Operation as one of the world’s largest and highest-quality hard rock lithium assets.”

Henderson added that the update aligns with Pilbara’s broader strategy to optimise operations and unlock long-term shareholder value.

Resource Growth Driven by High-Impact Drilling

The resource upgrade follows an extensive 104,672-metre drilling program conducted across FY24 and FY25. The campaign targeted down-dip extensions of known mineralisation, covering over 7 kilometres of strike. Encouragingly, the drilling did more than just confirm volume, it unveiled higher-grade zones, especially in the Central Extension, helping lift the average lithium oxide grade by 12%.

Moreover, mineralisation remains open along strike in several zones, including the Bridge Zone, where drilling below 200 metres depth has yet to be completed. 

Strategic Positioning Amid Market Volatility

While lithium prices have pulled back significantly over the past year, prompting many miners to scale back exploration and capex, Pilbara’s latest resource update signals significant operational fundamentals and long-term growth potential.

“The upgrade further consolidates PLS’ position as a leading global lithium supplier,” said Henderson. “It reflects the fundamental strengths of our business — large-scale, high-quality assets, disciplined operations, a diversified supply chain, and a strong balance sheet.”

Despite Wednesday’s surge, Pilbara Minerals shares remain down more than 50% over the past 12 months, highlighting the volatility in the lithium space.