Galaxy Resources Limited (ASX: GXY) has announced its activities for the quarter ended 30 June 2017. During the quarter, total of 32,998 dmt of lithium concentrate was produced at Mt Cattlin, a 41% increase over Q1 2017. For June, plant recoveries achieved 61% and output exceeded target production rate with 14,038 dry metric tons (dmt) of concentrate produced. The average production cash costs (excluding royalties and marketing fees) for the quarter were US$393 (A$524) per dmt of spodumene produced, impacted by higher waste mining volumes during the June quarter, and led to stock fall on 17 July 2017. However, the production cash cost (excluding royalties and marketing fees) for the month of June stood at US$334 (A$442) per dmt of spodumene produced. Further, it is anticipated that unit production cash costs will continue to reduce as the operation achieves further efficiencies and full production rates are maintained. The company sold of 30,135 dmt at an average realized price before royalties and marketing fees of US$724 (A$964) per dmt. Notwithstanding the ramp up and final commissioning of the operations during April, Mt Cattlin generated a positive cash flow of A$13.2 million for the quarter before capex and repayment of the balance of customer prepayments. Following the successful ramp up of production at Mt Cattlin, the focus in the September quarter will be on progressing a brownfield and greenfield exploration drilling campaign. Drilling will focus on further resource development at Mt Cattlin, including pegmatite targets east of Floater Road and south west of the existing pit.