Frontier Lithium Reports First Quarter Results
FRONTIER LITHIUM REPORTS FIRST
QUARTER RESULTS
SUDBURY, ON
,
Aug. 28, 2023
/CNW/ -
Frontier Lithium Inc.
(TSXV: FL) (FRA: HL2) (OTCQX:
LITOF) ("Frontier" or the "Company") has reported financial results for the first quarter ended
June
30, 2023
. The financial statements and the related management's discussion and analysis have been
filed on SEDAR+ and can be viewed under the company's profile on SEDAR+.
The company continues to advance its plans to develop a lithium salts refining plant in
North
America's
Great Lakes region. Frontier is advancing the definitive feasibility study ("DFS"),
assessing the viability of constructing and operating a fully integrated lithium mining and chemicals
company to deliver battery-grade lithium carbonate and lithium hydroxide for the burgeoning lithium-
ion battery market in
North America
.
On
June 30, 2023
, the company had cash and cash equivalents of
$22.34 million
, leaving it well
positioned to meet corporate and administrative expenses and to further execute on its planned
business objectives.
Highlights for the quarter ended
June 30, 2023
, and recent developments:
EXPLORATION
PHASE XIII DRILL PROGRAM
Phase XIII drill program commenced in
February 2023
with four additional holes drilled at Spark
testing the western extension of the deposit before delineating the Bolt pegmatite. Since February,
the Company has completed
11,364m
in 46 drill holes, including geomechanical and hydrogeological
test work at the PAK deposit, delineating Bolt pegmatite as well as condemnation drilling in areas of
proposed infrastructure.
REGIONAL MAPPING PROGRAM
Since
May 2023
, follow-up to the 2022 reconnaissance program has been underway including more
detailed prospecting/mapping and channel sampling. In 2022, a new spodumene-bearing pegmatite
zone, 10 by
15m
, was discovered approximately 1 km west-northwest of the Spark pegmatite with
grab samples averaging 3.1% Li
2
O. Prospecting and mapping in the Pennock pegmatite area
discovered additional pegmatite dykes up to
30m
in length and 3 to
5 m
in width, grab samples
averaging 1.7% Li
2
O.
RESULTS OF PRE-FEASIBILITY STUDY
In
May 2023
, the Company released the results of PFS for a proposed mine-to lithium
chemical/hydromet plant facility. The PFS was published on
July 14
th
, 2023. The results of the PFS
include a post-tax NPV at an 8 percent discount rate of
US$1.74 billion
with a post-tax IRR of 24.1
percent. The PFS confirms that the 100% owned Project could be the continent's largest and
lowest-cost producer of lithium hydroxide able to supply the rapidly growing electric vehicle industry
in North America.
CORPORATE LEADERSHIP TEAM CHANGES
In
June 2023
, the Company appointed Mr. Gregory Da Re as Vice President of Corporate
Development. Mr. Da Re brings a deep understanding of electric vehicle battery supply chains and
two decades of experience as an accomplished investment executive.
In
August 2023
, the Company announced the appointment of Mr.
Erick Underwood
as its new Chief
Financial Officer. Mr. Underwood brings with him over 25 years of extensive experience in the
finance and project development sectors within the mining industry.
OTHER MATTERS
ANNUAL GENERAL MEETING
Annual General Meeting of the shareholders of Frontier Lithium Inc. will be held on
Wednesday,
September 13, 2023
, at
2:00 p.m.
(
Toronto
time) virtually via the Zoom Meeting Platform.
Shareholders can visit
this link
to register for the event and
this link
to submit their questions.
About Frontier Lithium
Frontier Lithium (TSX-V: FL) (FRA: HL2) (OTCQX: LITOF) is a preproduction business with an
objective to become an integrated strategic domestic supplier of spodumene concentrates for
industrial users as well as battery-grade lithium hydroxide and other chemicals to the growing
electric vehicle and energy storage markets in
North America
. The Company's sole project maintains
the largest land position and resource in a premium lithium mineral district located in
Ontario's
Great
Lakes region.
About PAK Lithium Project
The PAK lithium project contains
North America's
highest-grade lithium resource and is the second
largest in
North America
by size. The project encompasses close to 27,000 hectares and remains
largely unexplored; however, since 2013, the company has delineated two premium spodumene-
bearing lithium deposits (PAK and Spark), located 2.3 kilometres apart. Exploration is continuing on
the project through two other spodumene- bearing discoveries: the Bolt pegmatite (located between
the PAK and Spark deposits), as well as the Pennock pegmatite (25 kilometres northwest of PAK
deposit within the project claims). A 2023 Pre-Feasibility Study "National Instrument 43-101
Technical Report PFS PAK Lithium Project" by BBA E&C Inc., delivered a 24- year project life,
delivering a post-tax NPV (8%) of
US$1.74 billion
and IRR of 24.1% as per the press release
disseminated on
May 31, 2023
, and was filed on SEDAR+.
Forward-looking Statements
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in
the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of
this news release. This news release includes certain statements that may be deemed "forward-
looking statements". All statements in this release, other than statements of historical fact constitute
forward-looking statements. Forward looking statements contained in this news release include, but
are not limited to, statements with respect to: estimated mineral resources, estimated capital costs
to construct mine facilities, estimated operating costs, the duration of payback periods, estimated
amounts of future production, estimated cash flows, net present value (NPV) , and statements that
address future production, reserve potential, exploration drilling, exploitation activities and events or
developments that the Company expects.
Although the Company believes the expectations expressed in such forward-looking statements are
based on reasonable assumptions, such statements are not guarantees of future performance and
actual results may differ materially from those expressed in the forward-looking statements.
Forward-looking statements involve inherent risks and uncertainties. Risk factors that could cause
actual results to differ materially from those in forward looking statements include: market prices for
commodities, increases in capital or operating costs, construction risks, availability of infrastructure
including roads, regulatory and permitting risks, exploitation and exploration successes, continued
availability of capital and financing, financing costs, and general economic, market or business
conditions. Investors are cautioned that any such statements are not guarantees of future
performance and those actual results or developments may differ materially from those projected in
the forward-looking statements. For more information on the Company, Investors should review the
Company's registered filings available at SEDAR+.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined
in the policies of the TSX Venture Exchange) accept responsibility for the adequacy or
accuracy of this release.
SOURCE
Frontier Lithium Inc.
View original content to download multimedia:
http://www.newswire.ca/en/releases/archive/August2023/28/c7537.html
%SEDAR: 00008434E
For further information:
Bora Ugurgel, Senior Manager, Investor Relations, 2736 Belisle Drive Val
Caron, ON. P3N 1B3 CANADA, T. +001 705.897.7622, F. +001 705.897.7618
CO: Frontier Lithium Inc.
CNW 17:00e 28-AUG-23