Emerging lithium producer Core Exploration (ASX: CXO) has upgraded the lithium Resource at its Grants deposit, which forms part of the company’s wholly-owned Finniss lithium project in the Northern Territory. More than half of the Grants Resource is now Indicated Resource, which substantially increases confidence ahead of finalisation of the Pre-Feasibility Studies for mining and production of high-grade lithium concentrate, which is expected to commence at Grants next year.
· Core’s Grants Lithium Resource upgraded – Indicated Resource has more than doubled in size at same high-grade 1.5% Li2O
· More than half of the Grants Lithium Resource is now Indicated Resource
· Increases confidence in Resource ahead of finalisation of the Pre-Feasibility Studies for mining and production of high grade lithium concentrate, commencing at Grants in 2019
· Grants Lithium Resource is one of the highest grade undeveloped lithium deposits in Australia • Significant potential to grow Finniss Project Resources as Grants is only one of many lithium rich pegmatites identified within Core’s large 400km2 of tenure at Finniss
· Strong newsflow ahead:
· Maiden Resource estimate for BP33 expected later this month
· PFS for development of Grants deposit expected next month
· Upcoming aggressive drilling campaigns targeting substantial resource growth at Finniss in 2018 to commence shortly
· Ongoing discussions with additional potential offtake customers
Core Exploration Ltd (ASX: CXO) (“Core” or the “Company”) is pleased to announce a Resource upgrade for its Grants Lithium Deposit at the Finniss Lithium Project in the Northern Territory which has more than doubled the size of the Indicated Resource and substantially increased the Resource confidence ahead of Feasibility studies to be completed in 2018.
The Grants Lithium Resource defined comprises 2.0Mt at 1.5% Li2O (Table 1) and is one of the highest grade spodumene resources in Australia. Over half of the Grants Lithium Resource is now contained in the Indicated category.
Core is in the final stages of completing a Pre-Feasibility Study (“PFS”) for the development of a spodumene concentrate and direct shipping ore operation from the Grants Lithium Deposit and expects to deliver the PFS later this quarter. The Finniss Lithium Project has substantial infrastructure advantages; being close to grid power, gas and rail and within easy trucking distance by sealed road to Darwin Port – Australia’s nearest port to Asia.
Core is working with the NT EPA to finalise the terms of reference for an Environmental Impact Assessment (EIA), following which, the Company will prepare and submit a Mining Management Plan (MMP) for the development of the Grants project. Based on the prescribed timeframes for assessment by the NT EPA, Core expects the environmental assessment process to take up to 12 months for the Grants project.
Core also expects to complete a full feasibility for the development of spodumene concentrate production from Grants and potentially other future resources within the Finniss Project, such as that at BP33, in 2018 and is planning to complete regulatory approvals and commence production in 2019. A Maiden Resource estimate for BP33 is expected this month.
Core will also be re-commencing an aggressive exploration drilling campaign soon with the aim of substantially growing the resource base for the Finniss Lithium Project to underpin a long-life lithium mining and production business.