Global Lithium Resources has released a strong Definitive Feasibility Study for its Manna Lithium Project, confirming its economic resilience, while also initiating an IPO to spin out its Marble Bar gold assets.
- Manna Lithium Project DFS shows post-tax NPV of A$472 million and IRR of 25.7%
- 14.3-year mine life supported by 19.4Mt Ore Reserve at 0.91% lithium oxide
- Non-binding MOU signed with Southern Ports Authority for export logistics
- IPO launched to spin out Marble Bar gold assets into MB Gold Limited targeting Q1 2026 listing
- Strong cash position of A$19.8 million excluding IPO trust funds
Robust Economic Outlook for Manna Lithium Project
Global Lithium Resources Limited (ASX, GL1) has delivered a compelling update for investors with the release of its Definitive Feasibility Study (DFS) for the Manna Lithium Project. The study underscores the project’s economic strength, featuring a post-tax net present value (NPV) of A$472 million and an internal rate of return (IRR) of 25.7%. These figures reflect a resilient operation with a payback period of just 3.5 years and a breakeven lithium price well below current market levels.
The DFS highlights competitive operating costs, with an all-in sustaining cost (AISC) of US$738 per tonne of spodumene concentrate, excluding sea freight and insurance. Capital expenditure is estimated at A$439.1 million, reflecting a capital-efficient development plan. The project boasts significant resource confidence, ranking as the third largest lithium deposit in Western Australia’s Eastern Goldfields, with a total mineral resource of 51.6 million tonnes at 1.00% lithium oxide and an ore reserve supporting a 14.3-year mine life.
Strategic Moves, IPO and Export Logistics
In parallel with advancing its lithium project, Global Lithium has initiated an Initial Public Offering (IPO) to spin out its Marble Bar gold assets into a new entity, MB Gold Limited. The IPO targets a listing on the ASX in the first quarter of 2026, aiming to unlock value for shareholders by separating the gold exploration assets from the lithium-focused business.
Importantly, the company has also signed a non-binding Memorandum of Understanding (MOU) with Southern Ports Authority. This agreement sets a framework to explore export logistics for spodumene concentrate through the Port of Esperance, a critical step in ensuring efficient supply chain operations once production commences.
Community Engagement and Corporate Strength
Global Lithium continues to demonstrate its commitment to community relations, notably through cultural heritage surveys conducted in collaboration with the Nyamal Traditional Owners at the Marble Bar Project. This engagement is vital for maintaining strong local partnerships as exploration activities progress.
Financially, the company maintains a solid cash position of A$19.8 million, excluding funds held in trust for the MB Gold IPO. While no mining or production activities occurred during the quarter, the focus remained on finalising the DFS and securing necessary approvals, positioning Global Lithium well for the next phase of development.
Overall, Global Lithium’s latest quarterly report paints a picture of a company advancing steadily on multiple fronts; from robust project economics and strategic corporate restructuring to foundational community engagement and export planning.
Bottom Line?
With a strong DFS and strategic IPO underway, Global Lithium is poised for a pivotal year ahead in both lithium and gold sectors.
Questions in the middle?
- How will market conditions affect the success and timing of the MB Gold IPO?
- What are the next steps to finalise export arrangements with Southern Ports Authority?
- When will Global Lithium commence mining and production activities at Manna?