Australian (ASX) Stock Market Forum

CXO - Core Lithium

The placement, target $100 million, was priced at $1.03 a share, a slim 6.8 per cent discount to the last close and 13 per cent lower than the five-day volume weighted average price. It was fully underwritten.

Street Talk understands the deal was cornerstoned overnight by investors in North America and Europe, soon after Gangfeng trimmed its position via Petra Capital but kept the offtakes intact, removing the overhang on the stock
.

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which brings a bit of a giggle, as recent fund managers couldn't get enough:

Core Lithium (ASX: CXO)

Ally Selby: Next up, we have a little bit of a sexier stock. It is Core Lithium. It has completely shot the lights out over the past year. It is up 207 per cent. Todd, staying with you, is it a buy, hold or sell?

Todd Warren - Tribeca (HOLD): That is an easier question to answer about two weeks ago. It has retraced about 25 per cent in that time. I am going to go with hold. I would rather not sit on the fence. I would have said sell two weeks ago. Given the retracement, it is a little bit more difficult. You are still pricing in quite a lot of value for non reserves or resources in the ground. There is a lot going on for this asset. It is in the right thematic, being lithium. It has an asset in Australia close to infrastructure, so a lot of things I like about it, but there are probably better opportunities within the lithium space.

Ally Selby: Okay, over to you Simon. Core Lithium, is it a buy hold or sell?

Simon Shields - Monash Investors (HOLD): No guts, no glory. I would have said hold a couple of weeks ago. I am still saying hold. I mean, I don't really have a strong view about where the lithium price is going. The fact that Core can get a project up so quickly means that there is not going to be this huge delay in bringing on capacity with very high prices years down the track. It is going to be a wild ride in the space.
 
Latest announcement
Tesla and CXO have failed to conclude an agreement.
The way it's framed suggests it was CXO which gave Tesla the flick.
With lithium pricing current, CXO probably believes it can do better than what was on offer with Tesla
 
That's a big call, remember this?
from March of this year...
According to CXO this was a binding term sheet for supply.

The Term Sheet is subject to the parties completing negotiations and execution of a definitive product purchase agreement by 27 August 2022, which is to provide for a supply commencement date before 31 July 2023
 
Good morning
CXO looking ? good for a trade hopefully today (29/12/22)
Holding

Kind regards
rcw1
 
Choosing CXO in the full year 2023 competition.

My basic thinking is that I'm very bullish on lithium in 2023 so an early stage lithium company should have a rosy year. Here's hoping!
 
Good morning,
Core's long-term Chinese partner Sichuan Yahua will be buying the first 3500 tonnes of spodumene concentrate from its NT-based Finniss mine.

Core said the concentrate, produced last month, will be ready for shipment at the end of April.

The diversified China-based producer of lithium hydroxide and lithium carbonate, which counts Tesla and BYD Auto among its customers, has also agreed to purchase an additional 15,000 tonnes of concentrate under a pre-payment arrangement. The payment for 80 per cent of this volume is scheduled in April, with the balance due upon shipment. The agreements for these tonnes are in addition to the existing binding agreement to sell Yahua 300,000 tonnes over four years, signed in 2019.

"We are pleased to put these mutually beneficial agreements in place which sees us sell our high quality spodumene concentrate to a valued customer," Core Lithium chief executive Gareth Manderson said. "The prepayment provides additional working capital and assists Core to manage our cash flow as we continue to ramp up operations."

EDIT: Not holding :)

Have a very nice day today.

Kind regards
rcw1
 

Attachments

  • CXO ANNOUNCEMENT 230323pdf.pdf
    497.8 KB · Views: 3
ASX: CXO Announcement
18 April 2023

Finniss Mineral Resource
Increased by 62%


Highlights

• Total Finniss Mineral Resource Estimate increased by 62% to 30.6Mt @ 1.31% Li2O

• Measured and Indicated Mineral Resource increased by 46% to
19.4Mt @ 1.37% Li2O

• Significant increases to known deposits and additional new
deposits included in the Mineral Resource Estimate

• Expanded 2023 drilling campaign targeting further significant
Resource growth has commenced

Screenshot_20230418-125433.png


Hopefully all the shorters are squeezed like a bad canker...
 
ASX: CXO Announcement
5 April 2023

Maiden spodumene concentrate shipment ready for export


Highlights

• Maiden 3,500 tonne shipment of spodumene concentrate
delivered to Darwin port ready for shipping to Yahua

• Ore mining operations have recommenced following dewatering of the Grants pit

Production of a second shipment, a 15,000-tonne parcel of concentrate, has commenced
 
Quarterly out... production guidance disappoints, it seems
.
Down to a 12 month low, touching 75c

Mhmmmm big dump today

They've had to revise down their production & recovery targets courtesy of teething issues with a new mine. Fortunately they are generating money now and do not have any debt.


IMO a wake-up call for many up and coming lithium miners - it's not as simple as plopping some machinery on land. This should also lead to revisions of what new mines can actually supply when they start up.
 
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