Lithium Argentina (TSX: LAR) reported its Q3 2025 financials, highlighted by a net loss of $64.5 million, up from a $2.4 million loss a year earlier, as total expenses rose to $60.4 million from $8.8 million and equity-accounted losses from Cauchari-Olaroz swelled.
The larger loss primarily reflected a $52.5 million share of loss from the Cauchari-Olaroz Project, compared with $1.3 million in the prior year quarter. Management attributes roughly half of the project loss to current period items driven mostly by non-cash foreign exchange, and the remainder to recognition of previously unrecognized 2024 losses following capitalization of certain loans to Minera Exar’s equity.
The bottom line translates to a $0.40 loss per share versus $0.01 in Q3 2024.
C1 cost per tonne was $6,285, compared with $6,098 in Q2 and $6,634 in Q1, bringing the year-to-date average to $6,322 per tonne. Total cash costs per tonne was $6,514 in Q3 and $6,569 year to date.
Lithium carbonate shipments were 7,775 tonnes in Q3, after 8,635 tonnes in Q2 and 7,146 tonnes in Q1, for 23,556 tonnes year to date. The average realized price in Q3 was approximately $7,522 per tonne. Management notes that at current market prices the realized level for Cauchari-Olaroz would be about $9,200 per tonne, reflecting price recovery since July.
For the nine months ended September 30, 2025, net cash used in operating activities was $27.4 million versus $17.0 million in the prior year period. Cash and cash equivalents were $64.0 million at quarter-end, down from $85.5 million at year end 2024.
At Cauchari-Olaroz, quarterly production was approximately 8,300 tonnes of lithium carbonate. For the first nine months of 2025, production totaled about 24,000 tonnes, keeping the operation on track to exceed the low end of the 30,000 to 35,000 tonne guidance range.
The company also released the Pozuelos Pastos Grandes scoping study for up to 150,000 tpa of LCE, outlining an after-tax NPV8% of $8.1 billion and an IRR of 33% at an $18,000 per tonne price assumption. The consolidated PPG resource stands at 15.1 million tonnes LCE measured and indicated.
Operating cash cost is estimated at $5,027 per tonne, with initial Stage 1 capital of $1.1 billion including contingencies. Stage 1 has secured its environmental permit from the Government of Salta following a 14-month review.
Upon closing the new joint venture that consolidates three projects, ownership would be 67% Ganfeng and 33% Lithium Argentina, and both partners are evaluating financing that could include offtake-linked and minority equity participation.
Lithium Argentina last traded at $5.65 on the TSX.
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