- Kathleen Valley lithium project is creating jobs and strengthening local development
- Exploration Incentive Scheme boosted Liontown's early lithium exploration
- Cook Government working to ensure WA remains a global strategic player in the lithium-ion battery supply chain
The Cook Government has congratulated Liontown Resources on the official opening of its Kathleen Valley lithium operation - a globally significant, long-life project and Australia's first underground lithium mine.
Mines and Petroleum Minister David Michael attended today's formal opening of the project, located in the northern Goldfields region of Western Australia.
Liontown has signed offtake agreements with some of the world's leading electric vehicle and battery manufacturers including Tesla, Ford, LG Energy Solution and Beijing Sinomine.
These deals secure demand for most of the project's initial production and position Liontown as an emerging force in the global lithium supply chain.
The Cook Government is providing ongoing support for the lithium sector through the current price downturn, with the long-term outlook remaining strong as global demand for battery minerals continues to grow.
Liontown Resources has received a $15 million interest-free loan through the Cook Government's $150 million Lithium Industry Support Program to support ongoing operations at the Kathleen Valley lithium project.
To further assist during the project's ramp-up phase, the State Government also approved a waiver of port fees and charges and mining tenement fees for up to 24 months.
Open pit mining at Kathleen Valley began in July 2024, with the transition to underground production starting in April 2025. Full underground mining is targeted by September 2026.
Underground mining offers key advantages - including minimal waste removal and reduced contamination of the mined ore.
Liontown has also successfully drilled two holes with support from the Exploration Incentive Scheme, helping to improve the company's understanding of the site's geology beyond the known resource.
As stated by Mines and Petroleum Minister David Michael:
"I would like to congratulate Liontown on opening the landmark Kathleen Valley lithium project, which is attracting skilled workers and strengthening local development.
"The Cook Government is proud to support Western Australia's lithium sector - a major employer, a key contributor to the State's economy and an essential part of the global transition to clean energy.
"We are working with industry to ensure WA remains a global leader in the lithium-ion battery supply chain, with our Lithium Industry Support Program helping the sector navigate global market fluctuations.
"It's pleasing to see the Exploration Incentive Scheme continuing to deliver strong results while driving new exploration in some of the State's most remote regions.
"The Cook Government also welcomes the continuing strength of the relationship between Liontown and the Tjiwarl Traditional Owners since the Native Title Agreement was signed in 2021."
