Key Financial and Technical Parameters

Study Criteria and Financial Outputs

Basis and Variables

Mineral Resource at 1 % Li2O Cutoff 34.9 Mt @ 1.42 % Li2O
Probable Ore Reserve 15.8 Mt @ 1.34 % Li2O & 125 ppm Ta2O5
Pit Inventory and Run of Mine (RoM) Diluted Grade 23.7 Mt @ 1.34% Li2O & 124 ppm Ta2O5
Plant Throughput 1 200 000 tpa
Life of Mine (LoM) 20 years
LoM Waste Strip Ratio 2.79 t waste per t ore
Spodumene Production (6 % Li2O) avg. LoM 75 000 tpa
Petalite Production (4.1 % Li2O) avg. LoM 155 000 tpa
Total Lithium Carbonate Equivalent (LCE) avg. LoM 26 000 tpa
Tantalite contained in concentrate avg. LoM 88 000 lb. pa
Metallurgical Recovery DMS, Spirals and Flotation 71 % Li2O
Metallurgical Recovery Spirals and Tables1 30 % Ta2O5
Spodumene 6 % Li2O avg. Price CFR China USD 540 per dry t
Petalite 4.1 % Li2O avg. Price CFR China USD 400 per dry t
CAPEX (including initial working capital) ±25 % USD 52.5 M
Payback Period (from commissioning) ~2 years
Revenue LoM USD 1967 M
OPEX LoM USD 1500 M
Net Cash Flow USD 467 M
Cash Cost avg. LoM USD 320 per t concentrate
NPV 10 % discount USD 139 M
IRR 39 %

1 Higher recoveries expected as optimisation’s are currently on-going and positive but conservative figures used in the PFS base case
2 CFR “Cost and Freight” included for delivery to port in China
3 Cash Costs include all production, corporate, administration, marketing and royalty costs and are net of by-product credits from Ta2O5 sales
4 NPV10 and IRR calculated after state royalty (2 %) and MMCZ commissions (0.875 %) on gross production but before tax on profits