PLS vs Lynas: Which ASX Critical Minerals Stock is the Better Buy?

PLS Group and Lynas Rare Earths reported strong quarterly performance with higher production, improved pricing and progress on major expansion projects and future growth plans.

PLS Group Ltd (ASX: PLS)

PLS Group Ltd (ASX: PLS) on 28 October 2026 announced its September 2026 Quarterly Activities Report, reporting record spodumene production of 267.6kt, improved 25% from the previous quarter, while sales reached 223.6kt. The revenue totalled $563 million with an average estimated realised price of US$1,809/t. Unit operating cost declined to $539/t while cash margin from operations reached $392 million.

During the September quarter, the Pilgan plant performed strongly due to improved feed quality, ore-sorting benefits and stable operations. The Ngungaju plant restarted in July and returned to full operational status by the end of October. Total material mined increased to 11.5Mt compared with 10.2Mt in the previous quarter, and ore mined reached 1.5Mt. Tantalite concentrate sales totalled 39,235 lbs. A 15kt shipment was delayed until October due to port delays at Port Hedland.

At 30 September 2026, cash balance stood at $2,217 million after payment of the FY26 final dividend, capital expenditure and tenement acquisitions near Colina. Net cash was $1,277 million. After the quarter, PLS completed the P2000 feasibility study and took FID, with construction underway and first ore expected in September quarter CY29. The updated Ore Reserve showed a 31% increase in contained lithia.

Also, on 28 October 2026, PLS announced a 20 year power purchase agreement with Fortescue for at least 325 GWh of electricity annually from 2029. The agreement is expected to reduce FOB costs by $15–20/t and lower emissions intensity. Around $150 million will be invested in transmission and power infrastructure upgrades during FY27–FY29, with capacity exceeding 100 MW.

Lynas Rare Earths Ltd (ASX: LYC)

Lynas Rare Earths Ltd (ASX: LYC) on 29 October 2026 announced its September 2026 Quarterly Repor and reporting production of 2,082 tonnes of NdPr and 23 tonnes of Dy and Tb. Sales revenue reached A$310.1 million, up 55% from Q1 FY26. The average selling price increased 88% to a record A$102.1/kg due to better market prices, product bundling and floor price agreements covering over 50% of production.

During the quarter, Lynas continued its Towards 2030 growth plan and made progress on the expanded Heavy Rare Earths facility in Malaysia. Construction work included concreting for the processing, control room and electrical buildings. Equipment procurement also continued, with production planned to begin with Gadolinium followed by Yttrium.

On 7 July 2026, Lynas signed a long-term agreement with JS Link to develop a permanent magnet factory in Kuantan, Malaysia with annual capacity of 3,000 tonnes. LYC invested around A$50 million in the project. On 27 July 2026, it signed convertible investment agreements with LS Eco Energy worth approximately A$29 million each to advance plans for rare earth metal processing in Vietnam.

On 1 October 2026, Lynas announced a proposed acquisition of 100% of Meteoric Resources through a share exchange. Meteoric's Caldeira project in Brazil contains estimated resources of 802kt NdPr and 41kt DyTb oxides. The deal is expected to expand Lynas' resource base and future production capacity, subject to required approvals.

(Source: Company Report)