Core Lithium (ASX:CXO) has greenlit the restart of its flagship Finniss Lithium Operation, marking a pivotal moment for the Australian critical minerals sector.
Following a formal final investment decision by the board, the company has secured a comprehensive funding package to revitalise the project.
The financial injection includes a US$120 million strategic partnership with a heavyweight consortium comprising Glencore Australia, InfraVia, and Nebari, complemented by a planned $120 million equity raise.
The restart plan positions Finniss as a highly competitive, lower-cost brownfield operation.
Projections highlight robust project economics, featuring a pre-tax net present value of $1.1 billion and a total free cash flow generation of $1.7 billion.
The figures are supported by disciplined unit operating costs of $762 per tonne and a conservative long-term spodumene price assumption of US$1,500/t, lower than current spot prices of approximately US$2,200/t.
The project will follow a staged ramp-up, beginning with early works and site preparation at the Grants open pit, followed by the development of the BP33 underground mine.
Beyond its immediate production target of 214ktpa, the project retains significant exploration upside.
The strategic move, bolstered by a marketing arrangement with Glencore International, reinforces the Finniss Project's role in the global lithium supply chain as it transitions back into nameplate production.