Shares of Albemarle (ALB) surged 5.47% in intraday trading on Thursday, as the lithium giant's stock rallied amid broader optimism in the lithium sector and the company's strategic moves to bolster its long-term competitiveness.
The rally followed positive news from fellow lithium company Pilbara Minerals, which announced the resumption of its Mid-Stream Demonstration Plant Project, aimed at producing a higher-value lithium product. This development sparked renewed confidence in the lithium industry's growth prospects, benefiting Albemarle.
Additionally, Albemarle's CEO Kent Masters revealed plans to put the company's Chengdu lithium conversion facility in China on care and maintenance by mid-2025. This strategic move aligns with Albemarle's focus on ensuring its competitiveness during the bottom of the lithium price cycle. The company also expects its Energy Storage Lithium division's volumes to be slightly higher this year compared to 2024, further contributing to the stock's upward momentum.
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