# Lithium Supply Chain Gets Shakeup: Australian Miner Tests Digital Auction Model

Liontown Resources just pulled off something interesting—its first-ever digital spot sale for spodumene concentrate, and it's getting attention across the mining world.

Here's what went down: The company auctioned off 10,000 wet metric tonnes of spodumene concentrate from its Kathleen Valley operation in Western Australia. Over 50 buyers from nine countries showed up to bid, which is actually pretty significant for a commodities market that's traditionally opaque and relationship-driven.

**The Numbers:**
Winning bid came in at US$1,254/dmt for SC6.0-equivalent product, with delivery scheduled for 2026. Not exactly a crazy price spike, but what matters here is the *mechanism*—transparent, auditable, competitive.

**Why This Matters:**
Lithium supply has been a hot mess. Prices crashed, producers got squeezed, and the whole "price discovery" thing became a joke when most deals were negotiated behind closed doors. Liontown's move signals the market might be shifting toward more transparent spot pricing, similar to what we've seen in other commodities.

**The Operation Context:**
Kathleen Valley is ramping up nicely. Started production in 2024, currently scaling underground ops as surface pit winds down. Management says they're tracking toward 70% lithia recovery by Q3 2026. The resource base is solid—155 million tonnes at 1.3% Li₂O.

**What's Next:**
Liontown plans more auctions through 2026+. If this model catches on, it could reshape how spodumene concentrate gets priced and traded. That's potentially game-changing for the entire EV battery supply chain.