Core Lithium (7CX) 2025 Conference Summary Company Overview - **Company**: Core Lithium - **Industry**: Lithium Mining Key Points and Arguments Restart Study and Operational Strategy - Core Lithium conducted a restart study in May, focusing on asset management and operational improvements over the past year [2] - The company has transitioned from an old contractor model to direct control over crushing and DMS (Dense Media Separation) processes, enhancing cost management [3] Team and Expertise - The leadership team includes experienced professionals from capital markets and mining engineering, contributing to the restart study [4][5] Tenements and Exploration - Core Lithium holds approximately 500 square kilometers in the binopegmatite field, with significant exploration targets identified, including the Blackbeard deposit [6] Production and Cost Management - Post-restart, the company aims to produce around 205,000 tonnes of SC6 equivalent, a 20% increase from previous operations [7] - Unit operating costs are projected between AUD 690 million and AUD 795 million, indicating a sustainable operation even in challenging market conditions [8] Ore Body Characteristics - The BP33 deposit features a large subvertical pegmatite structure, which is advantageous for mining efficiency and cost reduction [9][10] - Transitioning from open-pit to underground mining at the Grants site is expected to enhance ore recovery and extend mine life [11] Development Timeline - The development of BP33 will take approximately 12 months, while the Grants site will be operational in 6 to 8 months, allowing for a complementary development timeline [12] Cost Drivers and Mining Efficiency - The company emphasizes large stopes and consistent geology, which contribute to high-grade ore recovery and operational efficiency [13][14] - Independent engineering support has validated the cost structure, ensuring it is market-tested and based on first principles [15] Flowsheet and Recovery Improvements - The new flowsheet will include a gravity circuit, expected to capture an additional 10% of recoverable material, enhancing overall product grade [20][21] - The elimination of a flotation circuit simplifies operations and reduces energy requirements [21] Logistics and Market Position - Core Lithium benefits from a straightforward logistics chain, being only 88 kilometers from Darwin's port, facilitating efficient transportation of products [22][23] - The company operates in a Tier one jurisdiction with a supportive government, enhancing its operational stability [25][26] Financial Position and Funding - Core Lithium is currently debt-free and well-funded, with Morgan Stanley appointed to assist in securing funding for the restart [27][28] - The capital expenditure (CapEx) is primarily allocated to underground developments and plant upgrades, with a focus on maintaining low sustaining CapEx [29] Future Outlook - The company anticipates production of around AUD 1.2 billion in the first couple of years, with potential for increased output based on market dynamics and exploration successes [30] - Core Lithium aims to build a long-term business model capable of thriving in various market conditions, positioning itself for future growth [28][31]