China's CATL sold all remaining 5% of its stake in Australian lithium giant PLS, realizing over RMB 3 billion in profit; Australia’s stringent regulatory oversight of lithium mining begins.

Pilbara Minerals Ltd. (PLS) is a publicly listed company on the Australian Securities Exchange, founded on January 10, 2005, primarily engaged in the exploration and development of lithium and tantalum deposits. In the first half of 2019, it reported revenue of AUD 42.79 million and a net loss of AUD 28.93 million. Following a capital increase, Hong Kong Contemporary became its largest shareholder. At that time, Pilbara planned to expand its lithium concentrate production capacity to 560,000–580,000 tonnes by September 2022, with a long-term target capacity of 1 million tonnes per year. Three years later, CATL has realized over RMB 3 billion in returns from an initial investment of RMB 263 million—a feat widely regarded as one of the greatest miracles in capital markets. Meanwhile, PLS has transformed from a near-bankrupt company valued at AUD 400 million into a lithium-mining unicorn now worth AUD 15 billion. Behind this transaction lies likely heightened national-level restrictions imposed by the governments of the United States, Canada, and Australia on strategic resource industries—potential 'black swan' events. An industry insider from a lithium chemical company noted that future Chinese investments in Canadian lithium companies will likely fail to pass Canada’s national security review. Prior to Canada’s tightening of regulations, Australia had already tightened restrictions on foreign investment in lithium mining firms. In 2020, Tianyi Lithium—the joint venture between CATL and Chinese lithium chemical producer Tianhua Ultra Clean—attempted to acquire a 12% stake in Australian miner AVZ Minerals, but the deal was halted by Australia’s Foreign Investment Review Board (FIRB). An industry source stated that FIRB deemed the investment “contrary to Australia’s national interest.” In 2020, Australia’s Senate and House of Representatives amended two key laws: the Foreign Acquisitions and Takeovers Fees Imposition Amendment Act 2020 and the Foreign Investment Reform Act. These amendments stipulate that overseas entities acquiring 10% or more equity in Australian enterprises affecting national security must undergo national security review by FIRB.

Carbon News | Realizing RMB 1.1 billion in proceeds, a leading lithium company divests Australian assets

Global Zero-Carbon The New Generation in Carbon Neutrality 01 Realizing RMB 1.1 billion in proceeds, a leading lithium company divests Australian assets On June 16, Ganfeng Lithium announced that its wholly owned subsidiary, Ganfeng International, sold approximately 35.09 million ordinary shares of Australian lithium miner PLS Group Ltd. via block trades on the secondary market, for approximately AUD 222 million (roughly RMB 1.1 billion). Following this sale, Ganfeng International retains approximately 3.27% of PLS shares. The transaction is expected to generate pre-tax gains totaling approximately RMB 981 million, of which approximately RMB 353 million will be recognized in the current year’s earnings. Ganfeng Lithium did not fully divest its PLS holdings; after the reduction, it still holds 3.27% of PLS shares. Its longstanding annual off-take agreement for 160,000 tonnes of lithium concentrate remains unchanged. Since its low-point acquisition of PLS in 2017, Ganfeng has accumulated substantial unrealized gains. This one-time realization of nearly RMB 1 billion in pre-tax gains directly offsets potential declines in core business profits caused by lithium price volatility, thereby smoothing performance across the industry cycle. (Source: Yicai News) 02 Hormuz Strait reopens: Iran exports crude oil for the first time in nearly two months Maritime intelligence firm TankerTrackers posted on social media early on June 17, confirming via satellite imagery dated June 15 that at least two Very Large Crude Carriers (VLCCs) belonging to the National Iranian Tanker Company (NITC) had sailed out of the U.S. Navy’s blockade zone. Together, the two vessels carried 3.8 million barrels of Iranian crude oil—the first such export in nearly two months. Additionally, the post noted that NITC’s vessel Strim was departing Pakistan’s exclusive economic zone. The ship had been anchored there for seven weeks, awaiting return to an Iranian port. (Source: Xinhua News Agency) 03 Wu Qing, Chairman of China Securities Regulatory Commission (CSRC): Supports development of futures products including electricity On June 17, according to Yicai News, Wu Qing, Chairman of the CSRC, stated at the 2026 Lujiazui Forum that efforts should enhance the international influence of the “Shanghai Price,” steadily advance the launch of liquefied natural gas (LNG) futures and options, and support research and development of foundational and strategic futures products—including electricity. Industry observers interpret Wu’s remarks as a significant signal: electricity has become a strategic asset, and China may be preparing for the listing of electricity futures. Once launched, electricity futures would profoundly impact new energy, power trading, energy storage, data centers, and AI-powered power systems. It also signals that China’s electricity market has entered a new stage: a nationwide unified electricity market is taking shape, spot markets are already operational in multiple regions, and the next phase of electricity market reform is advancing toward deeper instruments—including futures. (Source: Yicai News) 04 China achieves first domestic mass production of 99.99% ultra-high-purity silicon On June 15, China National Nuclear Corporation (CNNC) announced a breakthrough in stable isotope enrichment and ultra-high-purity silicon preparation: scientists have successfully achieved domestic mass production of silicon-28 isotope with isotopic abundance exceeding 99.99%, meeting internationally advanced standards in key performance indicators. This achievement provides robust support for China’s independent development of silicon-based quantum computing materials, as well as high-end applications in advanced semiconductor manufacturing, precision navigation, and metrological standards. Silicon-28, a stable isotope of silicon, possesses zero nuclear spin—making it highly effective at minimizing environmental noise interference in quantum computing. Dubbed “the world’s purest silicon,” it is an indispensable core material for silicon-based quantum chips.

Australia's PLS Signs 20-Year Power Pact with Fortescue Unit for Pilgangoora Mine

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Australia's PLS Group signed a 20-year power purchase agreement with FMG Clean Energy to support its Pilgangoora lithium expansion. The deal aims to lower operating costs by A$15-20 per tonne and reduce emissions intensity by up to 80% by 2030.

reuters

2026-10-27

Australia's PLS Signs 20-Year Power Pact with Fortescue Unit for Pilgangoora Mine

Australia's PLS Signs 20-Year Power Pact with Fortescue Unit for Pilgangoora Mine

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