Australian lithium miner Core Lithium (ASX: CXO) has provided its quarterly activities report for the period ended 31 March 2023.
HIGHLIGHTS
Operations
- Construction of the Dense Media Separation (DMS) plant at Finniss was completed
- First concentrate production was achieved in February 2023
- Maiden 3,500 tonne spodumene concentrate parcel produced and transported to Darwin port in March and early April
- Full mining activities resumed at Grants open pit following wet weather interruptions
Sales and marketing
- First cargo of 15,000dmt of spodumene Direct Shipping Ore (DSO) shipped from Darwin Port in January, with payment received during the quarter
- New agreements secured with Yahua for the sale and (80-90%) prepayment of an additional 18,500 tonnes of spodumene concentrate
Exploration and Development
- Results from Core’s 2022 drilling program, announced 18 April 2023, delivering a 62% increase to the total Finniss Mineral Resource inventory
- Commencement of a record $25 million, drilling program targeting life of mine extensions and testing expansion potential
Corporate and Financial
- Quarter ended with $97.8 million in cash, excluding April 2023 cash receipts from 18,500t Yahua sales contract prepayments
- First revenue of $20.1M recognised for DSO shipment in January 2023
- Chief Financial Officer, Doug Warden, appointed and commenced in April
- Corporate head office relocation to Perth, WA, announced
Core Chief Executive Officer Gareth Manderson said:
“The Finniss Operations team has responded very well to the challenges of the 2022/23 wet season. The pit was dewatered ahead of expectations and the team returned to mining of ore from the pit before the end of the quarter.
“Core is rapidly moving to lithium concentrate producer status. Concentrator construction was completed, and ore feed commissioning commenced 7 February. First concentrate was produced in February and first shipment was transported to the Darwin port in late March – all early in H1 2023.
“Commercial agreements for first concentrate production with long term customer Sichuan Yahua assist our cash flow management.
“The Core team is now focused on ramp up and establishing integrated mining and processing operations.”
