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Core Lithium (ASX:CXO) looks to raise capital

The Market Online Deal Room
ASX:CXO      MCAP $304.5M
09 August 2021 14:20 (AEST)

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Core Lithium (CXO) shares are locked in a trading halt ahead of an upcoming material capital raise.

Further details regarding the raise are expected to be announced to the market on or before Wednesday August 11, at which time Core Lithium shares are set to recommence trading.

Core Lithium has not indicated how much it might look to raise or for what purpose, however the raise comes while the company works to bring its Finniss Lithium Project into production.

The company reported results from an upgraded definitive feasibility study of the wholly owned project in July, which increased its ore reserves to 7.4 million tonnes at 1.3 per cent lithium oxide.

Subject to lithium market performance, financing and a final investment decision, Core is hoping to commence production at Finniss before the end of 2021.

The study indicated a pre-production capital expenditure of $89 million for the project, which is located south of Darwin Port in the Northern Territory.

Prior to today’s trading halt, Core Lithium shares last traded at 36 cents.

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