However the 7.4MT at Core was proven and probable resources. ESS has zero proven and probable resources because it is yet to release a financial evaluation showing the mining is profitable.
Using the Measured, Indicated and Inferred reporting scale Core has 14.72Mt @ 1.32% (4.09MT Measured, 4.18MT Indicated and 6.45MT Inferrred). ESS has 11.2Mt @ 1.21% (0MT Measured, 5.4MT Indicated and 6.2MT Inferred).
As reported in the December quarterlies, Core has $157m cash at the end of December and has spent $16m towards mine/plant construction. ESS has $9m and is yet to spend any money on an open pit/underground lithium mine or building a concentration plant. Adjusting for cash and using Core's 14.7Mt would lower this multiple, but its still big.
Core is expecting many hundred's of millions of revenue in 2023. An upper-end figure would be averaging US$2,200/t across spot/contract/ceiling rates and 190kt of spod sales = A$600m of revenue. The likely revenue for ESS in 2023 is about $0.
I entered lithium through an investment in Core, but that research and some early gains provided the confidence to start looking at those with a JORC resource that are yet to advance into building production facilities. IMO both will do well. Its entirely possible ESS will have a stronger percentage gains but it currently also has a higher risk profile as there are more possibilities that could delay revenue being received.
ESS Price at posting:
51.0¢ Sentiment: Buy Disclosure: Held
