Slide 1: DFS Investor Presentation
DFS Investor Presentation April 2019
Slide 2: Important and Cautionary Notes
Important and Cautionary Notes The information in this release that relates to metallurgy and metallurgical test work has been reviewed by Mr Noel The mineral tenements of the Company as described in this presentation are at various stages of exploration, and O’Brien, FAusIMM , MBA, B. Met Eng. Mr O
Slide 3: Important and Cautionary Notes
Important and Cautionary Notes Cautionary Statement: other things, statements with respect to the pre-feasibility and feasibility studies, the Company’s business strategy, The DFS results are based upon the updated Grants Mineral Resource of 22 October 2018 and the update BP33 plan, development, obj
Slide 4: On Pathway To Be Australia's Next Lithium Producer
On Pathway To Be Australia’s Next Lithium Producer High grade lithium Best logistics chain 01 Mineral Reserve 04 Excellent infrastructure and Top quartile lithium grade of located 25km from Darwin, 1.4% close to Asian customers Low risk Offtake and funding 02 Conventional open pit 05 Offtake (with p
Slide 5: Corporate Information
Corporate Information Share Price Performance Last Twelve Months Capital Structure (as at 31-Dec-18) $0.07 70m Share Price A$0.052 60m Shares on Issue 681.87M $0.06 50m Market Capitalisation A$35.5M 40m $0.05 Options and Rights Unlisted 86.07M 30m 20m Cash and Receivables A$4.4M $0.04 10m Debt Facil
Slide 6: Proven High-Quality Management Team
Proven High-Quality Management Team Stephen Biggins Managing Director ◼ Stephen has 25 years’ experience as a geologist and as an executive in both the mining industry in Australia and internationally ◼ He has applied his Honours Degree in Geology and MBA as the founding Managing Director of several
Slide 7: DFS Highlights
DFS Highlights The DFS demonstrates the Finniss Project economics to be compelling, with globally competitive cash costs that result in high operating margins and rapid payback. Key outputs are summarised below: Technical Metrics Reserve Case Financial Metrics5 Reserve Case A$981/t Schedule Producti
Slide 8: DFS Financial Highlights
DFS Financial Highlights Definitive Feasibility Study Highlights Management Case Highlights • Confirms Finniss Lithium Project as robust, high-margin low-capex lithium project Strong cashflow Rapid payback • Confirms low processing, mine, haulage and port costs High cashflow generated over Payback <
Slide 9: Moving Toward Production In Early 2020
Moving Toward Production In Early 2020 2019 2020 2021/22 Activity Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 CY Mining Lease Feasibility Study Offtake and Customer Finance Environmental and Approvals FID Mining and Construction Stage 1 - Commissioning and Production Ramp-up Stage 2 - Potential Flotation
Slide 10: Significant Exploration Upside
Significant Exploration Upside • Discoveries - Core’s exploration has discovered some of the highest-grade lithium in Australia, capable of producing quality spodumene concentrate • Numerous high-grade lithium pegmatite targets identified for additional resources from 500km2 covering hundreds of peg
Slide 11: ASX Lithium Sector Comparison
ASX Lithium Sector Comparison Mkt Cap A$M Li2O Resource Grade (15 April 2019) 1500 High grade lithium 1.80% 3,168 Mineral Resource 1.60% 1200 1.40% 1.20% 900 1.00% 600 0.80% 0.60% 300 0.40% 0 0.20% MIN PLS ORE GXY AJM A40 CXO KDR INR AVZ AGY PLL EMH BGS PSC SYA INF Producer Emerging Producer Develop
Slide 12: Australia FOB Spodumene 6% Price Forecast
Australia FOB Spodumene 6% Price Forecast USD per tonne Real 2018 Long run base case price 1,000 forecast USD$650 per tonne 900 800 700 600 48% operating 500 margin “through the cycle” 400 300 C1 Operating Costs FOB1 200 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027
Slide 13: Simple DMS Process and High Quality Spodumene Concentrate
Simple DMS Process and High Quality Spodumene Concentrate High Quality Spodumene: Simple Dense Media Separation (DMS) ◼ 5.5% Li2O concentrate at +70% net recoveries • Low Fe <0.7% Processing: • Low Mica <1% • Low K2O <1% • Coarse product <1% <0.5mm, max 10mm 13
Slide 14: Offtake and Prepayment Agreements
Offtake and Prepayment Agreements Offtake, Investment and Product Prepayment with some of China’s Largest Lithium Converters Key Offtake Terms: Yahua final, Ruifu to be finalised • One of China’s largest lithium producers and has significant expansion plans. 12,000tpa lithium hydroxide Term 30 Novem
Slide 15: Prime Location and Valuable Infrastructure Available
Prime Location and Valuable Infrastructure Available Aerial view of Darwin, the Port of Darwin and the Grants Lithium development Excellent Location and Infrastructure Advantages 15
Slide 16: Project Approvals
Project Approvals Key Milestones and Highlights January 2019 Mineral Lease granted for Grants Lithium Project and key project infrastructure March 2019 Supplementary Grants EIS submitted April 2019 Aboriginal Areas Protection Authority (AAPA) granted May 2019 Formal submission of Mine Management Pla
Slide 17: Huge Resource Growth Upside
Huge Resource Growth Upside Bi-Annual Lithium Exploration Spend and Resource Growth Resource Growth coming in 2019 A$7m 10,000,000 9,000,000 A$6m • Drilling in 2019 targeting substantial lithium 8,000,000 A$5m Resource growth to support a long-life lithium 7,000,000 production hub at Finniss A$4m 6,
Slide 18: Project Overview
Project Overview Finniss Lithium Project The Finniss Lithium Project has potentially the best logistics chain to Asia of any Australian lithium project. High grade Large tenement area One of the highest grade lithium Over 500km2 with over 100 projects in Australia historic pegmatite occurrences Exce
Slide 19: Core Targeting Spodumene Commercial Production in Early 2020
Core Targeting Spodumene Commercial Production in Early 2020 1H 2019 • Mining Lease • Resource Upgrades • DFS • Full Regulatory Approval • FID 1H 2020 • Ramp-up and Commercial 2H 2019 Production • Commence Mining • DMS Plant Construction • Commence Commissioning • Further Resource Upgrades 19
Slide 20: Background Slides
Background Slides corelithium.com.au
Slide 21: Core Board of Directors
Core Board of Directors Photo Name & Position Experience ◼ Stephen has 25 years’ experience as a geologist and as an executive in both the mining industry in Australia and internationally ◼ He has applied his Honours Degree in Geology and MBA as the founding Managing Director of several ASX-listed c
Slide 22: DFS: Low Capital Intensity
DFS: Low Capital Intensity The Finniss Lithium Project is among the least capital intensive lithium projects in Australia. Total Start-Up and Life of Mine Capital Costs A$m % DMS Plant DMS Plant 33.8 33.1% 1.5% Mobilisation 2.8 2.7% 2.0% Mobilisation Site Establishment and Set Up 2.7 2.6% TSF 2.0 2.
Slide 23: DFS: C1 Operating Cost FOB Estimates
DFS: C1 Operating Cost FOB Estimates Reserve Case C1 Operating Costs FOB1 A$/t US$/t2 US$3.0/t US$5.3/t Mining Costs - Contractor 270.3 189.2 US$6.0/t Mining Costs - Contractor Mining Costs - Owner 24.5 17.2 US$79.4/t Processing 113.4 79.4 Mining Costs - Owner Hauling 8.5 6.0 General & Administratio
Slide 24: High Quality Project and Execution Team
High Quality Project and Execution Team Key Service Providers Description Project Contribution ▪ Primero is a multi-disciplinary engineering group who specialise in the design, construction and commissioning of projects ▪ EPC and FEED contractor ▪ Offering services to the minerals, energy and infras
Slide 25: Finniss Lithium Project Reserves and Resources
Finniss Lithium Project Reserves and Resources JORC (2012) Resource Table1 Resources Ore Grade Contained Deposit Classification Mt LiO2 % LiO2 t Measured 1.09 1.48% 16,100 Indicated 0.82 1.54% 12,600 Grants Inferred 0.98 1.43% 14,000 Total 2.89 1.48% 42,700 Measured - - - Indicated 0.63 1.39% 8,800
Slide 26: For more information: Core Lithium
For more information: Core Lithium Stephen Biggins: +618 8317 1700 For broker and media enquiries: Cannings Purple Warrick Hazeldine: +61 417 944 616 Andrew Rowell: +61 400 466 226