This article is a sponsored feature from Mining.com.au partner Global Lithium Resources. It is not financial advice. Talk to a registered financial expert before making investment decisions.
With its flagship Manna Project east of Kalgoorlie boasting one of the province’s largest lithium resources, Global Lithium Resources (ASX:GL1) is firmly focused on pivoting from exploration into development.
A completed Definitive Feasibility Study (DFS), a strengthened funding base through strategic partnerships, and a targeted Final Investment Decision (FID) in the December quarter of 2026 all position the company as one of Australia’s next major lithium producers.
Having recently divested its secondary project, Marble Bar, Global Lithium is now fully focused on Manna and advancing it toward production.
Executive Director Liaoliang Leon Zhu outlines the company’s strategy, stressing a focus on discipline, timing, and delivery.
“The strategy is very clear,” Zhu says.
“We are de-risking the project now by securing approvals and funding. We can move the project through development and eventually production at the right market window in order to maximise value.”
Manna Lithium: Kalgoorlie’s next lithium giant in the making
As Zhu notes, Global Lithium has streamlined its portfolio to now have a sole focus on the Manna Project.
Located 100km east of Kalgoorlie in Western Australia, the wholly owned project is in the top three of lithium resources in the province and is an outcropping hard-rock lithium project.
Zhu says that the project currently hosts a mineral resource estimate of 51.6 million tonnes @ 1% lithium, and is supported by more than 110,000m of drilling.
“Overall, Manna is a high-quality project with a clear and credible development pathway and a long mine life,” Zhu says.
The project also hosts an ore reserve of 19.4 million tonnes @ 0.91% lithium oxide, with further conversion potential expected as studies progress.
Global Lithium completed the DFS in December 2025 and Zhu notes that they are now “making solid progress across approvals, engineering, and financing”.
The DFS indicates strong project economics. Based on a price assumption of US$1,400 per tonne (SC6), the project delivers a post-tax net present value (NPV) of $472 million at an 8% discount rate, $1.15 billion in free cash flow, nominal spodumene concentrate production of 236ktpa (SC5.5), and a 14.3-year mine life.
“The project is planned as a conventional open pit and underground operation,” Zhu says.
“We are targeting a processing rate of around 1.8 million tonnes per year, producing around 236,000 tonnes of spodumene concentrate per year.”
On the processing side, Global Lithium has outlined a three-stage crushing, ore sorting, single ball mill, and conventional flotation flowsheet, supported by strong metallurgical performance.
Zhu notes that with the DFS now in place, the company is progressing its path to FID with a “clear pathway ahead”.
“Our focus now is on the progress with the approvals, finalising our funding, and announcing engineering and procurement readiness,” Zhu says.
Global Lithium has recently entered into a binding term sheet with Jiangsu Lopal Tech Group, comprising an equity investment of $7.32 million and an offtake prepayment of US$75 million ($104 million).
This is underpinned by a long-term offtake agreement covering approximately 40% of production, including pricing support mechanisms in the early years, with a floor price of US$1,000 per tonne. This builds on the company’s existing offtake arrangements with Canmax.
Concurrently, Global Lithium and its wholly owned subsidiary MB Lithium entered into a separate binding tenement and mineral rights sale agreement with Lopal Perth, a wholly owned subsidiary of Lopal, for the sale of Global Lithium’s Marble Bar Lithium Project in Western Australia. Marble Bar, including its non-core exploration tenements and lithium mineral rights, has been sold for $14.85 million.
The Marble Bar divestment further strengthens Global Lithium’s streamlined focus on Manna, providing additional capital and reinforcing its pathway to development.
Market discipline driving demand for quality projects
Zhu notes that the lithium market has had its ups and downs in recent years, but believes the long-term fundamentals remain strong.
“We have been seeing volatility in the lithium market in recent years, but the long-term demand remains very strong, particularly driven by electric vehicles and energy storage,” Zhu says.
“The market is becoming more disciplined and higher quality. Development-ready projects are starting to stand out.”
According to the International Energy Agency, lithium demand rose by nearly 30% in 2024, surpassing the growth rate of 10% per year seen in the 2010s. Its Global Critical Minerals Outlook 2025 report outlines that the near-term market is well supplied, but that rapidly growing demand is expected to push the market into a deficit by the 2030s.
That said, the prospects for new lithium projects are favourable, as outlined in the report.
Zhu adds that he believes investors are focused on several key factors when identifying projects.
“Investors are increasingly prioritising project delivery, and the team’s proven ability to execute with defined pathways and strong funding support positions the Manna Project to secure the capital required for its advancement.”
Approvals, funding, and engineering drive path to FID
Zhu outlines that key near-term milestones include the continued progress on approvals.
A Native Title Mining Agreement has already been signed with the Kakarra Part B Native Title Group, and a 21-year mining lease has also been granted in August 2025 by the Department of Mines, Petroleum, and Exploration.
The company has submitted environmental approval applications, with flora and fauna surveys complete, works approval and native vegetation clearing permit applications lodged, and a mine development closure plan already submitted.
Other key milestones include a focus on further funding and ongoing engineering and procurement activities.
“These are crucial steps in positioning the project for development and ultimately achieving FID,” Zhu says.
Following that FID, the company will plan for practical completion around the March quarter of 2028.
“As we transition from explorer to developer, and ultimately producer, our goal is clear: deliver a long-life, sustainable lithium operation that stands out in Australia’s resource sector,” Zhu says.
Global Lithium has already de-risked Manna through native title agreements, mining lease approvals, and a completed DFS, and is now steadily progressing toward development and then production.
Write to Amy Rotman at Mining.com.au
Images: Global Lithium and Mining.com.au
