CXO (Core Lithium) receives around A$157 million (net of costs) in new funding

CXO is progressing gradually with project restart activities funding support and lithium stockpile sales during market recovery.

Core Lithium Limited (ASX: CXO) 

on 23 April 2026 announced a Final Investment Decision to restart the operations at the Finniss Lithium Project in the Northern Territory. The company said the restart is fully funded through a package worth about A$290 million. This funding includes support from strategic partners and an institutional equity raise. Core also entered a purchase and distribution arrangement with Glencore International AG which will help with product marketing while allowing the company to keep flexibility over future sales. During the March 2026 quarter the company sold around 5,100 dry metric tonnes of spodumene concentrate at a price linked to SC6 CIF China pricing of US$2,023 per tonne. Around 75,000 dry metric tonnes of lithium fines remained available after the sale. Cash reserves increased to A$91.6 million at 31 March 2026 compared with A$48.7 million at the end of the December 2025.

Mining and Production Plans

CXO confirmed that early works and site preparation started immediately after approval of the restart plan. Mining management plans for both BP33 and Grants received approval from the Northern Territory Government which allowed mining activity to recommence before the Final Investment Decision announcement. A surface mining contract worth about A$50 million was awarded to NRW Pty Ltd for open pit mining at the Grants deposit. The contract includes activities needed to deliver material to the Grants run of mine pad. Core expects ore from Grants to be processed during the September 2026 quarter. The first shipment of spodumene concentrate is targeted for the early part of the December 2026 quarter followed by additional shipments during calendar year 2027. The company said the restart strategy is designed to lower risk and reduce initial capital spending while supporting a steady production ramp up.

Exploration

Core stated that the Finniss restart plan delivers a projected pre tax net present value of A$1.1 billion and expected free cash flow generation of A$1.7 billion. These estimates were based on a long term spodumene concentrate price assumption of US$1,500 per tonne CIF. The project is planned as a long life operation with a projected twenty year mine life and annual production of 214,000 tonnes of spodumene concentrate equivalent. Core also continued lithium exploration work across the Finniss region to support future growth opportunities. Along with lithium activities the company reviewed commercial opportunities linked to the Shoobridge Gold Project because gold prices were trading near record highs.

Sale of Lithium Fines

On 30 April 2026, CXO announced a binding agreement with Glencore International AG for the sale of about 20,000 tonnes of lithium fines from the Finniss stockpile. The agreed base price was US$290 per tonne on a CIF basis. Shipment is planned for May 2026 through Darwin Port using the existing Finniss logistics network. After this transaction about 55,000 tonnes of lithium fines will remain available for possible future sale.

(Source: Company Report)