Ann: PFS Update Delivers Outstanding Results, page-6

PFS UPDATE DELIVERS OUTSTANDING RESULTS
75% INCREASE IN CINOVEC NPV TO US$1.94B
16% INCREASE IN PRODUCTION TO 29,386TPA
HIGHLIGHTS1
• The 2019 PFS Update for the Cinovec Project has been updated to demonstrate the effect of
changes in the mining process to incorporate the use of paste backfill, which results in an
increase in annual production, together with changes in lithium and by-product prices to reflect
current and expected market conditions.
• Annual production of battery grade lithium hydroxide monohydrate modelled to increase from
25,267 tpa to 29,386 tpa, an increase of 16%.
• NPV8 (post tax) increases from US$1.108B to US$1.938B, an increase of 74.9%, based upon a
lithium hydroxide price of USD17,000 per tonne which is significantly less than the current price.
• Post tax IRR of 36.3% and a payback period of 2.5 years from the commencement of production.
• Up-front capital cost due to backfilling plant and additional capital costs to produce 29,386 tpa
lithium hydroxide increased to US$644m.
• This 2022 PFS Update assumes the life of mine extraction of 13.1% of the Measured and Indicated
JORC Resources at Cinovec.
• Use of tailings for backfill will result in a far smaller environmental impact, further enhancing the
Project’s already strong ESG credentials.