Core Lithium Secures $50 Million in Institutional Placement to Advance Finniss Project

Highlights:

• Core Lithium Ltd (ASX: CXO) raised $50 million through a strongly supported institutional placement at $0.105 per share, with backing from major investors including Fourth Sail Capital LP.
• The company also launched a Share Purchase Plan (SPP) targeting up to $10 million, offering the same issue price to eligible shareholders in Australia and New Zealand.
• Funds will be directed towards advancing the Finniss Lithium Project, including underground development, operational readiness, and long-lead items, with Tranche 1 settlement set for 3 September 2025.

Core Lithium Ltd (ASX: CXO) has successfully completed a heavily supported $50 million institutional placement, marking a major step forward in funding the development of its Finniss Lithium Project. At the time of writing, shares in the company were trading at $0.105 per share, the same as the placement price.

Strong Backing from Global Investors

The two-tranche placement attracted significant interest from both Australian and international institutions, including cornerstone investor Fourth Sail Capital LP, a US-based commodities-focused asset manager. Core Lithium confirmed that approximately 476 million new shares will be issued under the placement, representing around 18% of its pro forma capital base once the associated Share Purchase Plan (SPP) is included.

In addition to the institutional placement, Core announced the launch of a non-underwritten SPP for eligible shareholders in Australia and New Zealand. The SPP, also priced at $0.105 per share, aims to raise up to $10 million, though the company has reserved the right to accept oversubscriptions.

Funding the Finniss Lithium Project

Proceeds from the equity raising will be directed towards advancing the Finniss Lithium Project in the Northern Territory. Specifically, funds will be used for long-lead items, the restart of the BP33 boxcut and decline development, and operational readiness activities. The capital injection also strengthens Core’s balance sheet, supporting its broader strategic funding efforts as the company moves towards a Final Investment Decision (FID). Core Lithium’s Chief Executive Officer Paul Brown highlighted that the raise represents a critical milestone:

 “This funding strengthens our balance sheet and allows us to accelerate underground development and operational readiness, positioning us for a positive investment decision.”

Next Steps

Settlement for Tranche 1 shares is expected on 3 September 2025, with trading to begin on 4 September 2025. Tranche 2 remains subject to shareholder approval, anticipated at a meeting in early October. This capital raise is expected to play a vital role in positioning Core Lithium to meet its growth ambitions and respond to rising global demand for lithium.

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