Eric Zhang's questions to Albemarle Corp (ALB) leadership • Q3 2024
Question
Eric Zhang, on for Patrick Cunningham, asked for a walkthrough of the actions taken to reduce 2025 CapEx and inquired if any other assets are being considered for care and maintenance.
Answer
CEO Kent Masters detailed that the CapEx reduction involved cutting or tightening growth projects while being more rigorous on maintenance spending, which is targeted at 4-6% of normalized revenue. He confirmed that besides putting Kemerton train 2 into care and maintenance, the company will evaluate other assets across its portfolio, noting that some decisions, like the operating rate at the Wodgina JV, require partner agreement.