The lithium mining company, Allkem (ASX:AKE), saw a significant increase in its shares, rising by up to 4.5% to A$14.5, marking its biggest intraday percentage gain since June 14.

Currently, Allkem is in the process of a $10.6 billion merger deal with Livent Corp.

Concurrently, the company is forecasting a rise in spodumene and lithium carbonate production for fiscal year 2024, following the announcement of a record annual profit this past Tuesday.

The company anticipates a yield of 210,000 to 230,000 tons of spodumene from its primary Mt Cattlin project in 2024, surpassing the estimates of Jefferies at 187.2 tons.

Additionally, Allkem expects the production costs for Mt Cattlin to remain lower throughout 2024.

The company’s stock recently reached its highest level since August 14 and has experienced an overall increase of 23.4% this year, as of its last closing.

Allkem is a leading lithium mining company with a key focus on sustainable production.