Australian lithium miner Core Lithium Limited (ASX: CXO) has released its activities report for the three-month period to 30 September 2023. Core owns and operates the Finniss lithium mine in the Northern Territory.
HIGHLIGHTS
- Spodumene concentrate production of 20,692t (compared to 14,685t Q4FY23)
- Improvement in lithia recoveries evident through the quarter, averaging 50% (from 49% in the previous quarter)
- An 8% increase in total material moved in Q1FY24 compared to Q4FY23 and record ore extraction in September
- Stocks on the run of mine (ROM) pad at the end of the quarter were 164,796t, compared to 7,598t at end of Q4FY23
- Lithium fines extraction of 29,197t and maiden shipment of 15,002t
- Spodumene concentrate shipments of 23,424t at an average grade of 5.2% (compared to 5,423t at 5.6% Q4FY23), including:
- Final concentrate shipment of 13,100t into the Yahua prepayment agreement
- First 10,000t spodumene concentrate delivered into the Ganfeng offtake agreement
- BP33 early works have progressed well including excavation of the 288m box cut, delivery of the steel tunnel liners, excavation of water storage, sediment dams and site roads
- Raised $107.9 million (net of costs) following completion of institutional placement and share purchase plan
- Cash balance at 30 September 2023 of $202.1 million
Subsequent activities
- BP33 Mineral Resource Estimate Measured and Indicated categories increased to 89% following the Resource upgrade to 10.5Mt @1.53% Li2O
- DMS plant recovery optimisation initiatives continue with positive results received in October
- Fourth spodumene concentrate shipment of 10,155t and 15,049t of fines departs from the Darwin Port
Core Lithium CEO Gareth Manderson said:
“This was a quarter of good progress in our three areas of focus; safely ramping up and optimising our concentrate production operations at Grants, progressing the BP33 project and delivering our exploration plan. Mining and processing performance improvement is tangible and I am very proud of the way the team is working thoroughly and at pace to achieve our improvement objectives.
“Increasing recoveries is one of the greatest levers we have to add value to our business. Recovery has increased to an average 50% for the quarter. There has been a steady improvement over time and in October to date we have seen average recoveries of around 55%. Recovery improvement trials are continuing to work to lock in and improve upon these results and ensure we continue to meet our customers’ specifications.
“It is a hive of activity at BP33 where the team is working to achieve as much as they can in the dry season. The 288m long and 40m deep box-cut excavation has progressed well and deliveries of the steelwork for the tunnel which covers the box cut to manage water ingress were completed in October.
“The results of the BP33 drilling program, announced in October, have led to 89% of the 10.5Mt resource now classified as Measured and Indicated. This is a very positive step towards the development of the BP33 mine plan and is being incorporated into the updated feasibility study, on track to be delivered in Q1 CY24. The underground mining method has been selected and it has been encouraging to see strong interest from a number of specialist underground mining contractors.”
