Project highlights and global competitiveness

Core Lithium’s recent study findings have greatly bolstered the investment rationale for its Finniss lithium project, situated close to Darwin in the Northern Territory. The revised evaluation validates the project’s global competitiveness, establishing it as a leading operation in the lithium industry.

The study presents a strong operational profile, showcasing Finniss as a low-cost, high-margin asset with an anticipated mine life of 20 years. This extended timeline boosts its attractiveness to institutional investors and strategic partners aiming to gain exposure to Tier-1 lithium resources.

Key project highlights consist of:

  • Verification of Finniss as a competitively positioned lithium operation on a global scale
  • Sound economic fundamentals supported by minimal operating costs
  • Favorable location near Darwin, providing access to Asian export markets
  • Established infrastructure and logistical benefits promoting effective production and distribution

These characteristics place Finniss in a strong position to leverage the growing global demand for lithium, especially from the electric vehicle and energy storage industries. The project’s scale and cost dynamics are anticipated to draw additional market interest as Core Lithium progresses its development agenda.

Long-term production outlook and cost advantages

The updated evaluation has solidified Core Lithium’s long-term production vision, forecasting a 20-year mine life for the Finniss project, with an emphasis on cost efficiency and operational stability. Importantly, 94% of the output during the initial 10 years is now supported by Ore Reserves, greatly reducing the risk in the early operational phase and providing a strong level of assurance for investors and offtake partners.

Operating costs continue to be exceptionally competitive globally, with the project sitting in the lower quartile of the global cost curve. This cost edge is projected to yield robust margins even amidst fluctuating pricing conditions, bolstering the project’s capability to produce steady cash flows throughout commodity cycles.

Capital efficiency is another prominent aspect, with the study indicating a reasonable capital intensity compared to peer projects. This facilitates a quicker payback period and enhances the project’s internal rate of return (IRR), making it an appealing option for both equity and debt investors.

Moreover, the proximity to Darwin’s port facilities and established logistics frameworks diminishes transportation expenses and aids in streamlined export processes to primary Asian markets. This logistical benefit further boosts the project’s cost competitiveness and positions Finniss as a dependable supplier in the global lithium supply chain.

With a well-defined production roadmap and a low-cost operating structure, Core Lithium is well-equipped to provide long-term value to shareholders while contributing to the global shift toward clean energy technologies.