Name of the Project
Finniss lithium project.

Location
South of Darwin Port, in the Northern Territory, in Australia.

Project Owner/s
Core Lithium.

Project Description
The updated definitive feasibility for Stage 1 of the Finniss project has confirmed that Core Lithium is well positioned to be the next lithium producer in Australia.

Finniss has total ore reserves estimated at 7.4-million tonnes grading 1.3% lithium oxide, supporting an eight-year mine life. This is based on using openpit mining methods at the Grants and Hang Gong deposits, and underground mining methods at the Grants, BP33 and Carlton deposits.

Stage 1 of the project will involve mining the high-grade spodumene pegmatite deposit from multiple openpit and underground sources; the transfer of the spodumene pegmatite ore to a run-of-mine pad adjacent to the Grants openpit; water-based dense-medium separation (DMS) to produce a high-quality spodumene (lithium) concentrate product; and the transport of the lithium concentrate product to the Port of Darwin by sealed public road for overseas export.

Potential Job Creation
The first three years of the project are expected to inject more than half a billion dollars into the Northern Territory’s economy and create about 250 jobs for Territorians within an hour’s drive of Darwin.

Net Present Value/Internal Rate of Return
The project has a pretax net present value, at an 8% discount rate, of A$221-million and an internal rate of return of 53%, with a two-year payback.

Capital Expenditure
The project has a modest preproduction capital expenditure of A$89-million.

Planned Start/End Date
On-site process plant construction activities are scheduled to start in March 2022, with DMS plant commissioning and first concentrate production anticipated in the fourth quarter of 2022.

Latest Developments
Core Lithium has taken a final investment decision (FID) on the Finniss project.

The project has gained all Northern Territory government approvals and is fully funded, following the successful raising of A$116-million. In addition, Ganfeng has signed a four-year offtake agreement with Core and agreed to provide A$34-million in new equity, subject to Chinese government approvals.

About 80% of Finniss’s initial output is covered under four-year offtake agreements with Ganfeng, one of the world’s biggest lithium producers by production capacity, and Yahua, a key lithium supplier to Tesla.

Northern Territory Minister for Mining and Industry Nicole Manison has welcomed the FID, saying it is “great news for the region”.

Project execution will start immediately, and commissioning of the DMS plant and first production of lithium concentrate are scheduled for the fourth quarter of next year.

Key Contracts, Suppliers and Consultants
Lucas Total Contract Solutions (openpit mining services); and Primero Group (EPC).

Contact Details for Project Information
Core lithium, tel +61 8317 1700 or email info@corelithium.com.au.