Chinese demand for lithium has rebounded to the point where Australian miner Galaxy Resources can lower the grade of its product to maximise volumes and possibly find a buyer for the waste generated by its Mt Cattlin mine.

Galaxy was expected to sell a spodumene concentrate with 6 per cent lithium this year, but the company said strong demand had prompted it to revise mine plans to produce a concentrate with between 5.6 per cent and 5.8 per cent lithium.