Core Lithium (ASX:CXO) says the company will have enough money to resume operations at its Finniss Lithium Project, 25km south of Darwin, following US$120 million (A$170 million) of strategic funding from Glencore Australia, InfraVia CMF Invest S.à r.l., Nebari Natural Resources Credit Fund II and LP Nebari.
The package comprises a US$70 million convertible note and a US$50 million senior secured debt facility from Nebari.
The company plans to launch a $120 million capital raising. It will also use cash totalling $41 million plus a further $11 million from a recent spodumene concentrate sale, especially as production ramps up.
Proceeds will be used to fully fund construction and restart the project, for which the company board of directors has approved a final investment decision. The project is promised to be a “lower‑cost, long‑life, brownfield” lithium operation with a 214,000 tonne per annum production capacity.
Comprehensive restart plans, updated mine plans, front-end engineering and design works, and operating strategy revisions are complete.
The project requires immediate mobilisation, pre‑production capital deployment, mining contractor engagement, site preparation, plant optimisation, and underground development work.
Early works and site preparation will start immediately, with grants open pit mining and processing restarting.
Glencore International AG has made a purchase and distribution arrangement with Core Lithium as well.
“The company remains focused on safe, disciplined execution as it advances a staged restart program through 2026 and 2027 with first spodumene concentrate production targeted for the September quarter 2026,” Core Managing Director Paul Brown says.
“The restart plan delivers a de-risked, lower cost, long-life operation with robust economics supported by valued strategic partners who share our long-term vision for Finniss.”
Core Lithium is a lithium mining company with assets mostly in the Northern Territory.
Write to Richard Szabo at Mining.com.au
Images: Core Lithium
