Galan Lithium Advances HMW with First Processed Lithium Brine

Galan Lithium (ASX: GLN) is advancing its Hombre Muerto West (HMW) brine project in Argentina’s "lithium triangle."

While the broader lithium sector navigates price volatility and development delays, Galan has maintained its focus on project execution and early-stage production.

The company's strategy centres on transitioning from developer to near-term producer. By initially producing a lithium chloride (LiCl) concentrate rather than moving straight to a capital-intensive, battery-grade carbonate facility, Galan has established a phased pathway to early cash flow.

The recent completion of the HMW plant commissioning serves as a key operational milestone, positioning the company as one of the few greenfield lithium projects globally expected to enter production in 2026.

The HMW Project and RIGI Status

The Hombre Muerto West project is located within a well-regarded resource basin.

The project is noted for its low impurity profile compared to other published lithium brine resources in Argentina, which is expected to support processing efficiency and downstream concentrate quality.

Furthermore, Galan's operational position is supported by its inclusion in Argentina's RIGI (Large Scale Investment Framework).

This status provides 30 years of fiscal stability and income tax benefits, establishing a supportive regulatory framework for the project's long-term operations and planned expansions.

Commissioning Progress

The May 2026 announcement detailing the completion of wet plant commissioning marks a clear operational step forward.

Following the completion of Phase 1 construction in March 2026, Galan moved the HMW nanofiltration plant through electrical and mechanical testing into wet commissioning.

Independent laboratory testing of the processed lithium chloride confirmed that the plant's impurity separation performance aligns with design specifications.

The processed brine has now been moved into the final evaporation ponds. Over approximately three months, evaporation will concentrate the contained lithium to a target 6% LiCl product, which will be sold under existing Phase 1 offtake arrangements with Authium Limited.

With a brine inventory of approximately 10,000 tonnes LCE currently in the ponds, the plant has the necessary feedstock to support the ongoing production ramp-up.

Next Steps and Milestones

• First Product Sales (H2 2026): The market will be tracking the first shipment and sale of the 6% LiCl concentrate to offtake partner Authium Limited.
• Production Stabilisation: The current optimisation phase will initially yield variable processing rates. The primary operational objective is achieving a stabilised, annualised production rate of 4,000tpa LCE.
• Phase 1 Expansion (H1 2027): Construction works are scheduled to begin shortly to lift Phase 1 capacity from 4,000tpa to 5,200tpa LCE, representing the next step in the company's staged expansion plan.

Bottom Line

Galan Lithium is executing a structured development plan at HMW.

By completing wet plant commissioning and moving its first processed brine into the final evaporation ponds, the company has advanced its path toward production.

Supported by an existing 10,000-tonne LCE brine inventory and the fiscal stability of the RIGI framework, Galan is on track to commence product sales in the second half of 2026.