Proactive Investors - Run By Investors For Investors

Core Lithium confirms FIBR approval for $8.125 million Lithium Royalty Corp investment

Funds raised totalling $11.8 million are now being used to progress the Finniss Lithium Project towards development.
coins
FIRB approval was the remaining condition precedent to the transaction which is now complete

Core Lithium Ltd (ASX:CXO) has successfully completed its recent funding initiatives totalling $11.8 million from a share purchase plan, a share placement and a Lithium Royalty Corporation (LRC) investment.

LRC has now obtained a written confirmation from the Australian Foreign Investment Review Board (FIBR) confirming that the government does not object to LRC’s investment of $8.125 million for a 2.5% royalty over production from the Finniss Lithium Project. 

FIRB approval was the remaining condition precedent to the transaction which is now complete.

READ: Core Lithium to receive $8.1 million for 2.5% royalty at Finniss

Core has also confirmed the receipt of $0.35 million from the underwriters of its oversubscribed share purchase plan (SPP).

A total of $3.3 million was raised via the SPP which was oversubscribed by $1.3 million.

Funds raised totalling $11.8 million from the oversubscribed SPP, share placement and LRC royalty transactions are now being used to progress the Finniss Lithium Project towards development.

READ: Core Lithium begins resource expansion drilling at Finniss following $11.4 million capital raise

Core managing director Stephen Biggins said: “Strong support shown by existing and new investors in Core Lithium illustrates the current value and potential upside of the Finniss Lithium Project.

“This capital strengthens our balance sheet and enables the company to invest significantly to further increase profitability and rapid payback of the near development ready, Finniss Lithium Project, which we expect to generate attractive returns for our shareholders.”

View full CXO profile View Profile

Core Lithium Ltd Timeline

Related Articles

Map of Queensland, Australia
March 01 2019
A recently published preliminary economic assessment shows an after-tax net present value of A$124 million and an internal rate of return of 24%
Elephant
May 28 2019
In March, IronRidge reported multiple new high-grade lithium pegmatite intersections in reverse circulation drilling at Ewoyaa
A vessel is loaded up, ready to leave Esperance port with Bald Hill lithium concentrate bound for China
January 17 2019
The merged companies had been equal partners on WA’s Bald Hill spodumene mine.

© Proactive Investors 2019

Proactive Investors Australia PTY LTD ACN:132787654 ABN:19132787654.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use