The reported cash margin of US$534 per tonne for the quarter (up 22% on the March period), was attributed to lower costs of production and increased realised price.

Debt-free Galaxy had $68.3 million in cash and liquid securities at the end of the quarter, with a $16.5 million payment for a shipment completed in late June subsequently received early this month.

The company had cash (and no debt) at the end of the March of $60.8 million.

On the operations front, additional plant being installed at Mt Cattlin is targeted to increase overall recoveries to a range of 70-75% - versus recent levels of 52-56% - which in turn will result in an increase in annual production volumes to between 220,000 and 240,000t per annum - with the improved recoveries expected to start kicking-in in the fourth quarter.

The current run-rate at Mt Cattlin is about 170,000-180,000tpa.

Meanwhile Galaxy has reported the sale to POSCO of a package of tenements located on the northern area of the Salar del Hombre Muerto in Argentina, for a cash consideration of $280 million, remains on track, with final POSCO board approval "still expected during the third quarter of 2018".

Galaxy is looking to develop its Sal De Vida project in Argentina and is assessing the viability of the earlier stage James Bay opportunity in Canada.

Shares in Galaxy closed Monday at A$3.18, capitalising the company at $1.3 billion.

The stock has spent most of 2018 trading in a range of $3-3.50/share.