Newly listed EverGreen Lithium (ASX:EG1) is working to advance its project portfolio as rapidly as possible, albeit in a systematic and methodical fashion, says Non-Executive Chairman Simon Lill.
Speaking to Mining.com.au following its initial public offering (IPO) on the Australian Securities Exchange (ASX) on 11 April, Lill notes that a lot of work was undertaken at its 100% owned Bynoe Lithium Project in H2 2022.
He says Bynoe, which comprises a 231km-square land position is contiguous with Core Lithium’s (ASX:CXO) producing Finniss project, providing EverGreen a useful regional exploration blueprint to try and emulate.
“The company is comfortable in the calibre of its current projects and will be focusing on them. It will not be pursuing acquisitions in the first instance, though the board’s remit is to build shareholder wealth. In the first instance that will be through exploration and development on current projects.”
“The company is comfortable in the calibre of its current projects and will be focusing on them”
EverGreen’s $7 million IPO was oversubscribed and the company had an additional $3 million from seed capital still in its coffers.
William Buck Audit (VIC) was investigating accountant for the IPO, while Taylor Collison was lead manager, and Steinepreis Paganin served as legal advisor.
Lill adds: “Oversubscription is always pleasing but not surprising in this instance and is testament to the calibre of EverGreen’s projects, undoubtedly led by Bynoe. This has also been seen in Evergreen’s debut performance on ASX.”
The company’s share price was up 8.333% to $0.325 on the ASX as of 2.30pm AWST, giving it a market capitalisation of $54.32 million.
According to the Non-Executive Chairman, the catalyst for the company to list on the ASX now is that EverGreen required it as a suitable platform to raise the additional capital needed to adequately advance its projects.
Lill says the company initially raised $6.2 million in seed capital some 12 months ago to fund initial exploration to maintain expenditure commitments and working capital requirements towards achieving its ASX listing. The period in between raising seed capital and IPO has been spent on finalising vendor arrangements due to certain ASX requirements, as well as working with the stock exchange to ensure the form of listing was acceptable.
It follows a busy year for the company. In Q4 2022 EverGreen completed a phase two geochemical program with a view to extend existing geochemical anomalies at Bynoe.
The company also undertook an ambient noise tomography (ANT) survey over 4 unique areas within its tenure. The ANT survey was used by Core Lithium at its BP33 deposit, which had already been drilled, where the results were deemed “an outstanding success”. With the BP33 body imaged it provided a now proven ability to detect subsurface pegmatites at depth.
Lill adds: “The results of the aforementioned are scheduled in the coming weeks and months once the relevant assays and data are received by the company. Drilling will await required approvals from Traditional Owner groups, which process is currently underway.
There was also an auger geochemistry drill program undertaken at the Kenny project in WA. Kenny is located in close proximity to Liontown’s (ASX:LTR) Buldania resource and the company looks forward to receiving said results and updating the market as soon as possible.”
EverGreen is an exploration company which wholly owns 3 ‘highly prospective’ lithium spodumene projects in Australia. The Bynoe, Kenny, and Fortune projects are located in areas of known lithium pegmatite occurrences within the Northern Territory and Western Australia.
Initial geochemical soil sampling has confirmed strike extensions from EverGreen’s neighbour Core Lithium’s producing Finniss Project. Strong lithium soil geochemical anomalies along the boundary of Finniss highlight potential for ‘high-grade’ economic lithium mineralisation to continue into EverGreen’s Bynoe Project.
Write to Adam Orlando at Mining.com.au
Images: EverGreen Lithium Ltd
