Core Lithium Ltd · ASX:CXO
Core Lithium — Core Exploration — Mines and Money Asia 2018
20 slides from Core Lithium's conference presentation, Apr 4, 2018
Slide 1: Resource Growth and PFS - Finniss Lithium Project
For personal use only Resource Growth and PFS FINNISS LITHIUM PROJECT Mines and Money Asia Hong Kong, 3-6 April 2018 ASX code: CXO
Slide 2: Disclaimer
DISCLAIMER For personal use only The information in this report that relates to Exploration Results and Mineral Resources is based on information compiled by Stephen Biggins (BSc(Hons)Geol, MBA) as Managing Director of Core Exploration Ltd who is a member of the Australasian Institute of Mining and
Slide 3: Investment Highlights
INVESTMENT HIGHLIGHTS • CXO on a pathway to lithium production - targeting late 2019 For personal use only • Preliminary Feasibility Study (PFS) nearing completion – Considering low-capex production of spodumene concentrate, for export from Darwin port – Development of the high grade (1.5%) Grants d
Slide 4: Company Information
COMPANY INFORMATION For personal use only Shares Directors Price A$ ~$0.06 Stephen Biggins – Managing Director ex SAU, IVR Shares on issue ~496M Greg English – Chairman Market cap ~$30M AXE, LCK Cash (31/12/2017) ~$4.5M Heath Hellewell – Non-executive Director CMM, DKM, ex DRM Enterprise Value ~$26M
Slide 5: Finniss Lithium Project - Development Project Located Near Darwin
FINNISS LITHIUM PROJECT DEVELOPMENT PROJECT LOCATED NEAR DARWIN For personal use only WITH SCALE UPSIDE Core’s dominant position in the Bynoe Pegmatite Field: • One of Australia's highest grade lithium resources • Over 100 historic pegmatite occurrences • Large area ~500km2 of tenements • Granted Mi
Slide 6: PFS: Low Capex Production of High Value Spodumene Concentrate
PFS : LOW CAPEX PRODUCTION OF HIGH VALUE SPODUMENE CONCENTRATE For personal use only PFS Considering : ✓ High grade and quality resource ✓ Mine and process design ✓ Low plant and equipment capex project ✓ Producing high value spod. concentrate ✓ Mining Lease and Regulatory Approvals ✓ Port access HO
Slide 7: Multiple High-Grade Lithium Intersections at Grants Ahead of Resource Upgrade and PFS
MULTIPLE HIGH-GRADE LITHIUM INTERSECTIONS AT GRANTS AHEAD OF RESOURCE UPGRADE AND PFS For personal use only • Multiple new high-grade lithium intersections from Grants • Excellent high-grade continuity and thickness at Grants • New assay results expected to culminate in a significant boost to the In
Slide 8: 6% Li2O Concentrate at >80% Recovery in Metallurgical Testwork
6% Li2O CONCENTRATE AT >80% RECOVERY IN METALLURGICAL TESTWORK OF DSO SPODUMENE For personal use only • Metallurgy confirms value of high grade spodumene ore from Grants • Customers also recognise the good metallurgy of Grants spodumene • Low capex DMS process may produce a high value ~5% Li2O conce
Slide 9: Lithium Production Target Milestones
LITHIUM PRODUCTION TARGET MILESTONES For personal use only Milestone Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018 Q1 2019 Q2 2019 Q3 2019 Q4 2019 Apply Mining Lease Commence Development Approvals (NOI) Yahua Offtake Exploration and Resource Drill Results EPA Confirm Approval Process Upgrade Grants Resour
Slide 10: Finniss Project Infrastructure
FINNISS PROJECT INFRASTRUCTURE SUBSTANTIAL INFRASTRUCTURE ADVANTAGES – LOW TRANSPORT COSTS For personal use only • Core’s Finniss Lithium Project has substantial infrastructure advantages • Potentially best logistics chain to China of any Australian lithium project • Darwin Port located close to Gra
Slide 11: Binding Lithium Offtake and US$20M Pre-Payment
BINDING LITHIUM OFFTAKE AND US$20M PRE-PAYMENT For personal use only Core has signed a 1 million tonne binding offtake and US$20 million pre- payment agreement with Yahua • Binding offtake and pre-payment agreements signed with Yahua ($3B market cap) • Yahua is one of China’s largest lithium produce
Slide 12: Darwin Port Agreement
DARWIN PORT AGREEMENT CORE HAS AGREEMENT WITH DARWIN PORT TO SHIP 1MTPA OF SPODUMENE For personal use only • Heads of Agreement signed with Darwin Port in respect of potential export of lithium products from Grants • Agreement provides Core with capacity to export up to 1Mtpa of spodumene direct shi
Slide 13: 2018 Drilling Targeting Substantial Resource Growth
2018 DRILLING TARGETING SUBSTANTIAL RESOURCE GROWTH For personal use only • Upcoming exploration and aggressive drill programs in 2018 to target growth in the resource base to support a long-life lithium production hub at Finniss Project • Core’s exploration has discovered some of the highest grade
Slide 14: BP33 Expanding - 86m Spodumene Pegmatite Drill Intersection
BP33 EXPANDING 86M SPODUMENE PEGMATITE DRILL INTERSECTION For personal use only • 86m of spodumene pegmatite intersected by Core: • spodumene pegmatite at end of hole • widest interval of spodumene pegmatite ever drilled in the NT • assay results expected in next 2 weeks • Drill core estimated to av
Slide 15: Excellent Results from Current Drilling
EXCELLENT RESULTS FROM CURRENT DRILLING BUILDING RESOURCES Q1 AND THROUGH 2018 For personal use only • BP33 Prospect results include: 62m @ 1.24% Li2O 54m @ 1.42% Li2O • Sandras Prospect results include: 27m @ 1.45% Li2O 38m @ 1.08% Li2O • Carlton Prospect results include: 10m @ 1.6% Li2O 15 | LITHI
Slide 16: New Shallow Dipping, High Grade Multiple Stacked Pegmatite Targets
NEW SHALLOW DIPPING, HIGH GRADE MULTIPLE STACKED PEGMATITE TARGETS For personal use only • Alternate mining scenarios • Drilling of these new spodumene pegmatite targets at start of 2018 dry season • Also many more pegmatites to revisit and test on large 500km2 project area in 2018, including recent
Slide 17: ASX Lithium Sector Comparative Market Cap
ASX LITHIUM SECTOR COMPARATIVE MARKET CAP For personal use only $3.3bn $1.5bn $1.5bn $1.4bn $1,000 $900 $800 Market Cap (millions) $700 $600 $500 $400 $300 $200 $100 $- MIN ORE PLS GXY AJM KDR GSC TAW NMT BGS SYA PSC PLL EMH LTR CXO EVZ NLI PLY 17 | LITHIUM | April 2018 | Core Exploration Ltd
Slide 18: On the Path to Production
ON THE PATH TO PRODUCTION For personal use only • Grants is one of the highest grade lithium deposits in Australia • Resource upgrade at Grants and maiden resource at BP33 imminent • Preliminary Feasibility Study (PFS) nearing completion – targeting first production in 2019 • PFS considering low-cap
Slide 19: Thank you
Thank you For personal use only For more information: Stephen Biggins Managing Director Visit us at booth +61 8 7324 2987 For broker and media enquiries: Warrick Hazeldine / Andrew Rowell E9 Cannings Purple +61 417 944 616 / +61 400 466 226 19 | LITHIUM | April 2018 | Core Exploration Ltd
Slide 20: Competent Person statement and announcement list
For personal use only The information in this report that relates to Exploration Results and Mineral Resources is 8-Mar-18 Multiple High-grade Lithium Intersections at Grants based on information compiled by Stephen Biggins (BSc(Hons)Geol, MBA) as Managing 1-Mar-18 Wide High-grade Lithium Intersecti