Anson Resources (ASN) H2 2024 earnings summary

Executive summary

• Achieved significant progress at Paradox and Green River Lithium Projects, including a major resource upgrade and first lithium carbonate production from the Sample Demonstration Plant.

• Secured first binding offtake term sheet with LG Energy Solution for up to 4,000 tpa of battery-grade lithium carbonate, representing 40% of initial production capacity, with supply to commence in 2027.

• Expanded project area by 8% through acquisition of Green Energy Lithium Project, resulting in a 45% increase in lithium resource and 44% increase in bromine resource.

• Advanced exploration and drilling at Ajana, Yellow Cat, Hooley Well, and The Bull projects, identifying high-grade critical minerals and expanding resource potential.

Financial highlights

• Net loss attributable to equity holders for FY24 was $9,836,894, an improvement from $12,430,121 in FY23.

• Loss per share was 0.77 cents (FY23: 1.09 cents).

• Cash and cash equivalents at 30 June 2024 totaled $8,215,284 (FY23: $38,645,427).

• No dividends declared or paid for the year.

• Total assets at year-end were $54.6 million, with net assets of $49.7 million.

Outlook and guidance

• Focus remains on advancing Green River and Paradox Lithium Projects, with ongoing negotiations for additional offtake agreements targeting 80-90% of initial production under long-term contracts.

• Further exploration and resource delineation planned at Ajana, Yellow Cat, and Hooley Well projects.

• Recent equity raise and non-binding LOI for up to US$330 million in debt financing from US EXIM Bank to support construction of lithium production plant.