The songs are currently being mixed in the band's Oklahoma City studio.
The 22-year-old former Disney star and the group she has been a fan of since the "Hannah Montana" days are now almost done with the seven-song piece, which currently has no official title and release date, reported Aceshowbiz.
"She does the pop thing so great, so it still feels pop, but a slightly wiser, sadder, more true version. Some of it reminds me of Pink Floyd and Portishead," Wayne Coyne, Flaming Lips' frontman, said of Cyrus.
"Her studio is just a little room with a desk. And Miley was sitting there mixing. I was like, 'I can't picture (Beyonce Knowles) doing this!' It's not a putdown of Beyonce. I just don't see her recording her own vocals and then EQ'ing it. It's so punk rock!" he said.