Speciality chemicals producer Livent projects adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) to be in the range of US$290-$350 million this year, up 78% from its previous guidance of US$160-200 million.
This is 360% higher than the realised adjusted EBITDA of US$70 million posted in 2021.
"Strong lithium demand growth has continued in 2022," said chief executive Paul Graves. "Published lithium prices in all forms have increased rapidly amid very tight market conditions and Livent continues to achieve higher realized prices across its entire product portfolio."
Shares in Livent increased 2.57% or $0.55 on the New York Stock Exchange to $21.92, giving the firm a market capitalisation of US$3.55 billion.
The firm expects total projected capital spending from 2022-2024 of around $1 billion which will be funded by internal cash flow over the same period.
In its first expansion in Argentina, Livent is on track to add 10,000 tonnes of lithium carbonate capacity by the first quarter of 2023, the firm said.
Another 10,000 metric tons of lithium carbonate capacity is expected to be added in Argentina by the end of 2023, which will nearly double Livent's total available lithium carbonate equivalents from 2021 levels.
Livent expects to add another 15,000 metric tons of lithium hydroxide capacity at a new location in China by the end of 2023.
The firm said it was also evaluating building a new facility in either North America or Europe that would process lithium material from battery recycling processes into lithium hydroxide.
