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Core Lithium (ASX:CXO) extends pegmatite zones and prepares for DSO shipment from Finniss, NT

ASX 200, ASX News, Mining
ASX:CXO      MCAP $288.4M
27 September 2022 14:00 (AEST)

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Core Lithium (CXO) has extended pegmatite zones at its Finniss project in the Northern Territory as it gears up for its first shipment of ore.

The lithium explorer has wrapped up a 12-hole drilling program at BP33, the second lithium mine planned at Finniss.

Drilling here began in May and results released last month included 2.27 per cent lithium oxide.

While further assays are pending, CXO said visual results for three deep diamond drill holes confirmed variable thicknesses of spodumene-mineralised pegmatites at depths below previous drilling and around 830 metres below surface.

The best result included 76 metres of highly-mineralised pegmatites interpreted to represent the down plunge extension of the main pegmatite body.

The intersections have doubled the depth extent of the pegmatite hosting the BP33 mineralisation, and Core said it expected a subsequent increase in the mineral resource estimate for the deposit.

The company has ticked off the final step to completing the approvals process for the proposed BP33 mine after submitting a Mine Management Plan to the Department of Industry, Tourism and Trade.

It follows environmental approval for the mine from the Environmental Protection Authority.

Meanwhile, Core is preparing for the first shipment of Direct Shipping Ore spodumene before the end of this year.

It comes as the first spodumene ore was uncovered at Grants pit earlier this month.

Ahead of the shipment, CXO is working to commission a crushing and screening plant.

Additionally, the company has implemented a nightshift crew to accelerate the construction of a dense media separation plant to support spodumene concentrate production in the first half 2023.

Core said there was a high level of interest in ore from Finniss and, as such, the shipment would be sold via a tender process using a digital exchange platform.

Company shares were down 4.76 per cent and trading at $1.21 at 1:55 pm AEST.

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