Lithium producer Orocobre
(ASX:ORO) has recorded an 84 per cent increase in quarterly production to December compared to the September quarter, and a 67 per cent increase in sales, driving revenue up 72 per cent to US$40 million.
The company has also secured $361 million in funding to accelerate an increased phase 2 expansion at the Olaroz lithium facility in Argentina which is expected to have a total capital cost of approximately $340 million.
The capital raising comprises a $282 million strategic placement to Toyota Tsusho, and an underwritten $79 million entitlement offer.
The phase 2 Olaroz expansion will add 25,000 tonnes per annum of lithium carbonate production capacity which was originally planned for 17,500 tonnes per annum, taking production capacity to 42,500 tonnes per annum.
Commissioning of the expansion is expected in the December half calendar year of 2019, with final approvals expected by mid-2018.
Shares in Orocobre
(ASX:ORO) last traded at $7.17.
