CORE LITHIUM LTD — Capital/Financing Update 2018

Nov 26, 2018

==> picture [515 x 102] intentionally omitted <==

ASX: CXO ANNOUNCEMENT

27 November 2018

Carlton and Hang Gong Assays to Boost Finniss Resource Base

HIGHLIGHTS

• New high grade spodumene pegmatite intersections in recent exploration drilling at multiple prospects expected to result in a materially expanded Mineral Resource base at the Finniss Lithium Project;

• Intersections at Carlton Prospect include:

• 17m @ 1.34% Li2O from 125m (NRC038)

• o 24m @ 1.15% Li2O from 169m (NRC052)

• Resource estimation has commenced on Carlton Prospect and should be completed within 2 weeks.

• Drill results at Hang Gong Prospect continue to highlight potential for shallow-dipping, multiple stacked pegmatites and include:

• 6m @ 1.49% Li2O from 146m (NRC043)

• Multiple intervals in NRC060, including:

  • 4m @ 1.54% Li2O from 82m;

  • 2m @ 2.37% Li2O from 168m; and

▪ 3m @ 0.89% Li2O from 174m

• Maiden Mineral Resource estimations expected for Sandras, Carlton, Hang Gong and Lees-Booths to be reported over next 2 months

• Carlton and Hang Gong located on Mining Licences (ML), within 1.5 km of Grants

• New drill assay results to be reported as they come to hand throughout remainder of 2018

1

Core Lithium Ltd | ABN 80 146 287 809 | ASX: CXO | www.corelithium.com.au

==> picture [515 x 102] intentionally omitted <==

Emerging Australian lithium developer, Core Lithium Ltd (ASX: CXO) (“ Core ” or the “ Company ”), is pleased to announce follow-up exploration drill results from Carlton and Hang Gong Prospects, which are located on mining tenure located within 1.5km from the Grants Lithium Deposit, that demonstrate the significant potential to expand and define substantial additional lithium resources at the Finniss Lithium Project in the Northern Territory (“ Finniss ”) through exploration drilling.

The Finniss Lithium Project comprises over 500km[2] of granted tenements near Darwin over the Bynoe Pegmatite Field. Results have confirmed that ore grade lithium mineralisation is widespread within the Finniss Project and Core’s drilling in 2018 is aimed at substantially growing the Mineral Resource base to underpin a potential long-life lithium mining and production operation.

Core is planning to mine and produce high quality lithium concentrate from the Finniss Project and is aiming to complete a Definitive Feasibility Study ( DFS ), regulatory approvals, financing and internal approvals before commencing production at Grants by the end of 2019.

The Finniss Lithium Project has substantial infrastructure advantages supporting the Project’s development; being close to grid power, gas and rail and within easy trucking distance by sealed road to Darwin Port - Australia’s nearest port to Asia.

Commenting on the exploration results, Core Managing Director, Stephen Biggins said:

“These exploration results continue the unveiling of the Bynoe Pegmatite Field as what we believe is a world-class lithium district.

“The Mineral Resource base of the Finniss Lithium Project has increased from 1.8Mt to 5Mt since May this year and the drilling results coming to hand suggest the Company will be able to materially increase that in the coming months.

“Core will continue to progress Grants towards development whilst growing the existing Mineral Resource base through aggressive exploration programs to unlock the hidden potential.”

Regional Drilling Results

Carlton Prospect

Eight resource definition RC holes drilled recently at Carlton have extended the spodumene pegmatite to a strike length of at least 270m and down-dip to at least 170m below surface. The true width of the pegmatite is 17m in NRC038 and 22m in NRC052, immediately downdip (Figure 1). However, at this point the pegmatite splits into two high-grade sheets, divided by an 8m wide interval of intercalated pegmatite and Burrell Creek Formation, both of which

2

Core Lithium Ltd | ABN 80 146 287 809 | ASX: CXO | www.corelithium.com.au

are moderately mineralised. Nonetheless, the general trend is for slightly increased width and lithium grades in pegmatite with depth and to the south. This is consistent with the pattern at Grants and BP33, suggesting the body plunges steeply to the south.

Carlton is defined at surface by a shallow, 200m long and 15m-wide pit, mined historically for tin and tantalum. The regular shape of the existing pit is consistent with the drilling information, but the body has a southerly plunge similar to nearby Grants and BP33, so the spodumene pegmatite at Carlton is actually much longer and closer to 300m long (Figs 1 & 2).

==> picture [329 x 407] intentionally omitted <==

Figure 1 Recent RC drill intersections at Carlton Prospect in section

The best assay results include:

• 17m @ 1.34% Li2O from 125m (NRC038)

• 24m @ 1.15% Li2O from 169m (NRC052), with individual metre-assays up to 2.6% Li2

3

Core Lithium Ltd | ABN 80 146 287 809 | ASX: CXO | www.corelithium.com.au

==> picture [515 x 102] intentionally omitted <==

A number of the holes also intersected a narrow, weathered pegmatite sheet up-hole to the east (Figure 1), which appears to dip at 45 degrees to the east. This opens up the possibility that there are other concealed pegmatites close to the currently identified main body at Carlton. These might fall into a similar category as has been recently recognised at Hang Gong, Lees and Booths – a stacked shallow-dipping pegmatite array. This will be a target for future exploration.

==> picture [361 x 494] intentionally omitted <==

Figure 2 Recent RC drill intersections at Carlton Prospect in plan

4

Core Lithium Ltd | ABN 80 146 287 809 | ASX: CXO | www.corelithium.com.au

Hang Gong Prospect

Nine RC drillholes have been recently completed in the greater Hang Gong area aimed at extending the distribution of shallow-dipping stacked pegmatites in the area (Figure 3). The drilling has greatly improved the geological model, particularly with regard to the historic Hang Gong pit and understanding of historic RC drilling, and has highlighted a number of zones where the mineralised envelope might be extended to (Figure 4).

Previous RC drilling by Core (and previous owner Liontown Resources in 2017) had focused on testing a model of steep dipping pegmatites, of the Grants and BP33 style. However, when reviewed in 3D, several of those drillholes suggested there are bodies of 10-15m thickness that have a sub-horizontal to shallow dip.

Core’s recent drilling shows the validity of the prognosed shallow-dipping model, as almost all of the holes that reached target depth intersected a 5-20m thick pegmatite at an RL predicted for a tabular body dipping at 20-30 degrees to the northeast (Figure 3). Assay results confirm that the pegmatites are mineralised, with some spectacular 1m intervals grading over 2.5% Li2O.

The best intersections include:

• 6m @ 1.49% Li2O from 146m (NRC043)

• Multiple intervals in NRC060, including:

• 4m @ 1.54% Li2O from 82m;

• 2m @ 2.37% Li2O from 168m (including 1m @ 3.1% Li2O); and

• 3m @ 0.89% Li2O from 174m.

Notably, the drilling results at Hang Gong and Lees-Booths Link (announced 12/11/18) suggest that the shallow-dipping stacked pegmatite style is widespread in the northern Finniss Project area, and as you would expect, it is largely concealed and untested. There are already some large areas to follow up, especially to the northeast of Hang Gong pit (Figure 4). Local thickening of the pegmatite sheets at the surface, presumably into structures and fold hinges (examples in Figure 3, such as Hang Gong pit), is predicted to be replicated in the subsurface. This likelihood augers well for Core’s endeavors to discover a large robust deposit at Finniss.

5

Core Lithium Ltd | ABN 80 146 287 809 | ASX: CXO | www.corelithium.com.au

==> picture [596 x 211] intentionally omitted <==

Figure 3 Recent RC drill intersections at Hang Gong Prospect in section

==> picture [345 x 350] intentionally omitted <==

Figure 4 RC drilling results in the greater Hang Gong area, highlighting recent assays results

6

Core Lithium Ltd | ABN 80 146 287 809 | ASX: CXO | www.corelithium.com.au

==> picture [515 x 102] intentionally omitted <==

==> picture [439 x 613] intentionally omitted <==

----- Start of picture text -----

Greater Hang Gong target
Lees-Booths Link
----- End of picture text -----

Figure 5 Active pegmatite prospects in the northern area of Finniss Lithium Project.

7

Core Lithium Ltd | ABN 80 146 287 809 | ASX: CXO | www.corelithium.com.au

Next Steps – Mineral Resource estimations

As drilling assay results come to hand from the laboratory, Core will be integrating these into current geological models with the view to estimating Mineral Resources for Sandras, Carlton, Hang Gong and Booths Lees Link. This exercise has already been carried out at Grants and BP33.

A Mineral Resource estimate for Sandras is imminent. Data presented here, along with outstanding assays from NRC062, will be used to estimate a Mineral Resource for Carlton in the next 2 weeks. Data for Hang Gong and Booths Lees received to date also appears to support estimation of a Mineral Resource.

If these resources come to fruition, management believes that it will likely double the global Mineral Resource at the project.

For further information please contact: For Media and Broker queries:

Stephen Biggins Andrew Rowell Managing Director Director - Investor Relations Core Lithium Ltd Cannings Purple +61 8 8317 1700 +61 400 466 226 info@corelithium.com.au arowell@canningspurple.com.au

Competent Persons Statements

The information in this report that relates to Exploration Results and Mineral Resources is based on information compiled by Stephen Biggins (BSc(Hons)Geol, MBA) an employee of Core Lithium Ltd who is a member of the Australasian Institute of Mining and Metallurgy and is bound by and follows the Institute’s codes and recommended practices. He has sufficient experience which is relevant to the styles of mineralisation and types of deposits under consideration and to the activities being undertaken to qualify as a Competent Person as defined in the 2012 Edition of the “Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves”. Mr Biggins consents to the inclusion in the report of the matters based on his information in the form and context in which it appears. This report includes results that have previously been released under JORC 2012 by Core.

Core confirms that it is not aware of any new information or data that materially affects the information included in this announcement and that all material assumptions and technical parameters underpinning the Mineral Resource estimates in the announcements “Grants Lithium Resource Increased by 42% ahead of DFS” dated 22 October 2018 and “Over 50% Increase in BP33 Lithium Resource to Boost DFS” dated 6 November 2018 continue to apply and have not materially changed. The Mineral Resources underpinning the production target have been prepared by a Competent Person in accordance with the requirements of the JORC code. Core confirms that all material assumptions underpinning production target and forecast financial information derived from the product target announced on 25 June 2018 continue to apply and have not materially changed.

8

Core Lithium Ltd | ABN 80 146 287 809 | ASX: CXO | www.corelithium.com.au

==> picture [445 x 571] intentionally omitted <==

Figure 6 Core’s 100%-owned Finniss Lithium Project near Darwin, NT.

9

Core Lithium Ltd | ABN 80 146 287 809 | ASX: CXO | www.corelithium.com.au

	Hole No.	Prospect	GDA94 Grid	GDA94	Grid	From (m)	To (m)	Interval	Grade
			Easting	Northing				(m)	(Li2O %)
	NRC038	Carlton	693875.0	8597840.0		125.0	142.0	17.0	1.34
	NRC039	Carlton	693835.0	8597809.0		93.0	103.0	10.0	1.16
				including		98.0	101.0	3.0	1.91
	NRC040	Carlton	693867.0	8597796.0		129.0	142.0	13.0	1.39
	NRC041	HangGong	694000.0	8599002.0		No Significant Intercepts
	NRC042	HangGong	694199.0	8598800.0		No Significant Intercepts
	NRC043	HangGong	694403.0	8598656.0		146.0	152.0	6.0	1.49
	NRC044	HangGong	694467.0	8598501.0		No Significant Intercepts
	NRC045	HangGong	694302.0	8599004.0		Did not reach target
	NRC051	Carlton	693863.0	8597739.0		152.0	153.0	1.0	1.05
	NRC052	Carlton	693914.0	8597827.0		169.0	193.0	24.0	1.15
	NRC053	Carlton	693941.0	8597912.0		180.0	192.0	12.0	1.19
	NRC054	Carlton	693909.0	8597994.0		152.0	153.0	1.0	0.56
	NRC055	Carlton	693903.0	8597791.0		Did not reach target
	NRC058	HangGong	694300.0	8598675.0		No Significant Intercepts
	NRC059	HangGong	694291.0	8598685.0		153.0	157.0	4.0	1.13
					and	161.0	162.0	1.0	0.42
	NRC060	HangGong	694194.0	8598603.0		82.0	86.0	4.0	1.54
					and	168.0	170.0	2.0	2.37
					and	174.0	177.0	3.0	0.89
	NRC061	HangGong	694393.0	8598904.0		58.0	61.0	3.0	0.41
					and	167.0	169.0	2.0	1.44
					and	188.0	190.0	2.0	0.82

Table 1 Recent RC drill assay result, Finniss Lithium Project

10

Core Lithium Ltd | ABN 80 146 287 809 | ASX: CXO | www.corelithium.com.au

==> picture [515 x 102] intentionally omitted <==

JORC Code, 2012 Edition – Table 1 Report Template Section 1 Sampling Techniques and Data

(Criteria in this section apply to all succeeding sections)

Criteria	JORC Code Explanation	Commentary
Sampling techniques	• Nature and quality of sampling (e.g. cut channels, random chips, or specific specialised industry standard measurement tools appropriate to the minerals under investigation, such as down hole gamma sondes, or handheld XRF instruments, etc.). These examples should not be taken as limiting the broad meaning of sampling. • Include reference to measures taken to ensure sample representivity and the appropriate calibration of any measurement tools or systems used. • Aspects of the determination of mineralisation that are Material to the Public Report. • In cases where ‘industry standard’ work has been done this would be relatively simple (e.g. ‘reverse circulation drilling was used to obtain 1 m samples from which 3 kg was pulverised to produce a 30 g charge for fire assay’). In other cases, more explanation may be required, such as where there is coarse gold that has inherent sampling problems. Unusual commodities or mineralisation types (e.g. submarine nodules) may warrant disclosure of detailed information.	• Drilling geology and assay results reported herein relate to Reverse Circulation (RC) drillholes at the Hang Gong and Carlton Prospects on EL30015. A full list of hole collars that includes coordinates, azimuth, dip and depth can be found in Drillhole Information section below, and significant intercepts information is contained tables in the body of the report. • RC holes NRC038 to NRC045, NRC051 to NRC055 and NRC058 to NRC061 were drilled at Hang Gong and Carlton prospects in EL30015 in September 2018 as part of a regional and resource definition drill program. • Historic holes presented in the figures include both: o “LBRC” prefix holes were drilled by Liontown Resources Ltd in 2016 and 2017 (LTR ASX Announcements 26/7/2016, 2/11/2016 and 27/6/2017; summary also provided in CXO ASX Announcements 5/2/2018 and 23/5/2018) o “BEC” prefix of RC drillholes are shallow angled RC holes drilled by Greenbushes in October-November 1995 (under the banner of “Julia Corp”) to define pegmatite geology and detect Sn-Ta grades in the weathered and soft portion of various prospects in the Bynoe Pegmatite Field (a summary is provided in CXO ASX Announcements 5/2/2018 and 23/5/2018). • Geological data used as a base to the Hang Gong figure was derived from logs of CXO-drilled RAB holes from the 2017-2018 exploration program in the reporting area. Holes have various ID’s used according to the prospect, planned line,and eastingalongthe line,and which azimuth the hole was

Core Lithium Ltd | ABN 80 146 287 809 | ASX: CXO | www.corelithium.com.au

==> picture [515 x 102] intentionally omitted <==

==> picture [408 x 186] intentionally omitted <==

drilled, for example, HG07-694250w was drilled at Hang Gong, on Line 7 at an easting of 694250, with azimuth to West.

• The azimuth of Core’s drill holes is oriented approximately perpendicular to the interpreted strike of the mineralised trend. Holes are moderately oblique to orthogonal in a dip sense (see cross-section).

• Core’s RC drill spoils are collected into two sub-samples: o 1 metre split sample, homogenized and cone split at the cyclone and then calico-bagged. Usually these weigh 2-3 kg.

  • 30-40 kg primary sample is collected in green bags and retained until assays have been returned and deemed reliable for reporting purposes.

• RAB drill spoils are not split from the cyclone and only a primary sample is collected in green bags, and these weigh 10-15 kg. RAB samples are speared directly from the spoils bags. This is suitable for the purpose of first pass detection of pegmatite.

• Drilling • Drill type (e.g. core, reverse circulation, open-hole hammer, rotary air blast, techniques auger, Bangka, sonic, etc.) and details (e.g. core diameter, triple or standard tube, depth of diamond tails, face-sampling bit or other type, whether core is oriented and if so, by what method, etc.).

• RC Drilling technique used by Core and reported herein comprises standard Reverse Circulation (RC) drilling via two separate rigs:

• Schram 450 rig: Standard Reverse Circulation (RC) 4 and ¾ inch face sampling hammer (5-inch diameter bit). The rig used is a wheel mounted Schram T450 rig and running a 900 CFM 350 psi on board compressor, and a separate 1070CFM x 350 psi compressor/booster combo. The rig is operated by Bullion Drilling Pty Ltd, Barossa Valley, SA.

• Schramm 685 rig: Truck-mounted Schramm 685 with standard Reverse Circulation (RC) 5 and ¼ inch face sampling hammer (5.5-inch diameter bit). Running an air pack of twin compressors with 2500 CFM @ 350psi with a Hurricane 6T booster up to 1000psi. The rig is operated by Swick Mining Services Limited, South Guildford WA.

• Rotary Air Blast (RAB) drilling technique utilizes a 3 and ¼ inch blade bit and NQ rods. The RAB rig is mounted on a 4 x 4 truck. It utilises a lower pressure compressor of maximum 150 psi. The rig is operated by Colling Exploration Pty Ltd of Cobar, NSW.

Core Lithium Ltd | ABN 80 146 287 809 | ASX: CXO | www.corelithium.com.au

==> picture [515 x 102] intentionally omitted <==

• Drill • Method of recording and assessing core and chip sample recoveries and • RC sample recoveries are visually estimated and recorded by CXO for each sampl results assessed. metre. To date sample recoveries have averaged >90%. e • Measures taken to maximise sample recovery and ensure representative • Contamination is monitored regularly. No issues have been encountered in recov nature of the samples. this program. ery • Whether a relationship exists between sample recovery and grade and • The cyclone and splitter are regularly cleaned, especially in wet intervals. whether sample bias may have occurred due to preferential loss/gain of • Drill collars are sealed to prevent sample loss and holes are normally drilled fine/coarse material. dry to prevent poor recoveries and contamination caused by water ingress. Wet intervals are noted in case of unusual results.

• Logging • Whether core and chip samples have been geologically and geotechnically • Standard sample logging procedures are utilised by Core, Liontown and logged to a level of detail to support appropriate Mineral Resource Greenbushes Ltd, including logging codes for lithology, minerals, weathering estimation, mining studies and metallurgical studies. etc.

• • Whether logging is qualitative or quantitative in nature. Core (or costean, • A chip tray for the entire RC or RAB hole is completed. A sub-sample is sieved channel, etc.) photography. from the large RC bags at site into chip trays over the pegmatite interval to

• • The total length and percentage of the relevant intersections logged. assist in geological logging. • Geology of the RC and RAB drill chips were logged on a metre basis with attention to main rock forming minerals within the pegmatite intersections.

• • Entire drilled interval of RC and RAB logged. • Pegmatite sections are also checked under a single-beam UV light for spodumene identification on an ad hoc basis. These only provide indicative qualitative information.

• • Estimation of mineral modal composition, including spodumene, is done visually. This will then be correlated to assay data when they are available.

• • RC chip trays are photographed and stored on the Core server.

• Sub-sampling • If core, whether cut or sawn and whether quarter, half or all core taken. • CXO RC samples referred to in this report have been collected on a 1m-basis techniques and • If non-core, whether riffled, tube sampled, rotary split, etc. and whether utilising the cone splitter mounted under the drill rig’s cyclone. sample sampled wet or dry. • Where the sample was too wet for the cone splitter to operate, 1m samples preparation • For all sample types, the nature, quality and appropriateness of the sample were collected from the 1m bulk/primary sample bags using a spear. preparation technique. • The type of sub-sampling technique and the quality of the sub-sample was

• • Quality control procedures adopted for all sub-sampling stages to maximise recoded for each metre. The quality of the samples was assessed prior to representivity of samples. their inclusion in calculated interval averages.

• • Measures taken to ensure that the sampling is representative of the in-situ • RAB samples are collected exclusively via a spear and weight 3-5 kg. No RAB

Core Lithium Ltd | ABN 80 146 287 809 | ASX: CXO | www.corelithium.com.au

material collected, including for instance results for field duplicate/secondhalf sampling.

• Whether sample sizes are appropriate to the grain size of the material being sampled.

• assay data is reported here, as it weathered and therefore does not provide any direct indicator of the grade of fresh material at depth. It is useful only for mapping and confirming the presence of weathered pegmatite.

• • No assay data referred to in relation to historic Greenbushes Ltd drilling or CXO’s RAB drilling.

• Liontown RC drill results are documented in the reports outlined in Item 1 (Sampling techniques).

• Sample prep occurs at North Australian Laboratories (“NAL”), Pine Creek, NT.

• • A 1-2 kg riffle-split of RC Samples are prepared by pulverising to 95% passing -100 um in Steel Ring Mills.

• For Liontown data, sample prep occurred at ALS in Perth, WA.

• RC Samples were rifle split to a max of 3kg and then prepared by pulverising to 85% passing -75 um.

• Quality of • The nature, quality and appropriateness of the assaying and laboratory • Sample analysis for CXO samples occurs at North Australian Laboratories, assay data and procedures used and whether the technique is considered partial or total. Pine Creek, NT. laboratory • For geophysical tools, spectrometers, handheld XRF instruments, etc., the • A 0.3 g sub-sample of the pulp is digested in a standard 4 acid mixture and tests parameters used in determining the analysis including instrument make and analysed via ICP-MS and ICP-OES methods for the following elements: Li, Cs, model, reading times, calibrations factors applied and their derivation, etc. Rb, Sr, Nb, Sn, Ta, U, As, K, P and Fe. The lower and upper detection range for

• • Nature of quality control procedures adopted (e.g. standards, blanks, Li by this method are 1 ppm and 5000 ppm respectively. duplicates, external laboratory checks) and whether acceptable levels of • A 3000 ppm Li trigger is also set to process that sample via a sodium fusion accuracy (i.e. lack of bias) and precision have been established. method to obtain Li, Fe and P. Lithium data reported by CXO defaults to the fusion method where available, as it considered more accurate at higher concentrations. There is on-going scrutiny of both the 4 acid and fusion methods.

• • A barren flush is inserted between samples at the laboratory. • The laboratory has a regime of 1 in 8 control subsamples. • NAL utilise standard internal quality control measures including the use of Certified Lithium Standards and duplicates/repeats.

• • CXO-implemented quality control procedures include: o One in forty certified Lithium ore standards are used for the RC drilling.

Core Lithium Ltd | ABN 80 146 287 809 | ASX: CXO | www.corelithium.com.au

==> picture [515 x 102] intentionally omitted <==

• One in forty duplicates are used for the RC drilling.

• o No Blanks are used in the regional exploration program. o Where the assays are likely to be used for a resource estimate, the ratio of standards and duplicates is increased to 1 in 20. Blanks are also introduced on a 1 in 20 basis.

• o External laboratory checks will be completed in due course.

• In the case of Liontown data, a sub-sample of the pulp was assayed by sodium peroxide fusion ICPMS using method codes ME-ICP89 (K, Li, P) and ME-MS91 (Cs, Nb, Rb, Sn, Ta) at ALS in Perth

Verification of • The verification of significant intersections by either independent or sampling and alternative company personnel. assaying • The use of twinned holes.

• Documentation of primary data, data entry procedures, data verification, data storage (physical and electronic) protocols.

• Discuss any adjustment to assay data.

• No assay data referred to in relation to historic Greenbushes Ltd drilling.

• • Core’s experienced project geologists are supervised by Core’s Exploration Manager.

• All field data is entered into excel spreadsheets (supported by look-up tables) at site and subsequently validated as it is imported into the centralized CXO Access database.

• Hard copies of survey and sampling data are stored in the local office and electronic data is stored on the Core server.

• Metallic Lithium percent was multiplied by a conversion factor of 2.15283/10000 to report Li ppm as Li2O%

Location of • Accuracy and quality of surveys used to locate drill holes (collar and down- data points hole surveys), trenches, mine workings and other locations used in Mineral Resource estimation.

• Specification of the grid system used.

• Quality and adequacy of topographic control.

• Laboratory umpire samples collected by spear from Liontown RC field sample piles have verified the assay results in Liontown database. Original laboratory is ALS Perth. Umpire lab is NAL Pine Creek. Same sample method.

• • No assay data referred to in relation to historic Greenbushes Ltd drilling. • Core’s RC and RAB Drilling: all coordinate information was collected using hand held GPS utilizing GDA 94, Zone 52. RC hole traces were surveyed by north seeking gyro tool (multishot mode at 10m or 30m intervals) operated by the drillers and the collar is oriented by a line of sight compass and a clinometer. Drill hole deviation has been minor to moderate and is acceptable for regional exploration and resource drilling. RAB hole dip and azimuth are measured by compass and clinometer, which are acceptable for the purposes used by Core.

Core Lithium Ltd | ABN 80 146 287 809 | ASX: CXO | www.corelithium.com.au

==> picture [515 x 102] intentionally omitted <==

		• Coordinate information for collars is by hand held GPS. The RL is generated from a DTM. • Greenbushes Drilling: All coordinate information was collected by Greenbushes Ltd using hand held GPS utilizing AMG66, Zone 52. Core has subsequently undertaken a datum transformation to convert to MGA94 Zone 52. A number of the drill collars have been located on the ground and the coordinates verified usingmoreprecise modern GPS(accuracy3-4 m).
Data spacing	• Data spacing for reporting of Exploration Results.	• Varies from prospect to prospect, but is in the range 50-100m along strike and 50-100m down-dip. • Refer figures in report. • This data may be used to support a resource in the future, but only once the drill density has been shown to be sufficient to do so. • Sample compositing reported here are calculated length weighted averages of the 1 m assays. Length weighted averages are acceptable method because the densityof the rock(pegmatite)is constant.
and distribution	• Whether the data spacing and distribution is sufficient to establish the degree of geological and grade continuity appropriate for the Mineral Resource and Ore Reserve estimation procedure(s) and classifications applied. • Whether sample compositing has been applied.
Orientation of data in relation to geological structure	• Whether the orientation of sampling achieves unbiased sampling of possible structures and the extent to which this is known, considering the deposit type. • If the relationship between the drilling orientation and the orientation of key mineralised structures is considered to have introduced a sampling bias, this should be assessed and reported if material.	• Core’s drilling is oriented perpendicular to the interpreted strike of mineralization (pegmatite body) as mapped or predicted by the geological model. In some areas the rocks may trend at an angle to the drill traverse. Because of the dip of the hole, drill intersections are apparent thicknesses and overall geological context is needed to estimate true thicknesses. • Greenbushes’ Drill holes are mostly vertical, and where inclined were drilled orthogonal to the strike of the pegmatite. None-the-less, modern GIS software is easily able to visualize these in 3 dimensions and integrate the drill traces with more recently surveyed drilling by Core and Liontown, which were oriented approximately perpendicular to the interpreted strike of the mineralised trend.
Sample security	• The measures taken to ensure sample security.	• Company geologist supervises all sampling and subsequent storage in field and transport to point of dispatch to assay laboratories.
Audits or reviews	• The results of any audits or reviews of sampling techniques and data.	• Audits or reviews of the sampling techniques were not undertaken

Core Lithium Ltd | ABN 80 146 287 809 | ASX: CXO | www.corelithium.com.au

Section 2 Reporting of Exploration Results

(Criteria listed in the preceding section also apply to this section)

(Criteria listed in	the preceding section also apply to this section)
Criteria	JORC Code explanation	Commentary
Mineral tenement and land tenure	• Type, reference name/number, location and ownership including agreements or material issues with third parties such as joint ventures, partnerships, overriding royalties, native title interests, historical sites, wilderness or	• Drilling by CXO and LTR took place within EL30015, 100% owned by CXO. • The area being drilled comprises Vacant Crown land. • There are no registered heritage sites covering the areas being drilled. • The tenements are in good standing with the NT DPIR Titles Division.
status	national park and environmental settings. • The security of the tenure held at the time of reporting along with any known impediments to obtaining a licence to operate in the area.
Exploration done by other parties	• Acknowledgment and appraisal of exploration by other parties.	• The history of mining in the Bynoe Harbour – Middle Arm area dates back to 1886 when tin was discovered by Mr. C Clark. • By 1890 the Leviathan Mine and the Annie Mine were discovered and worked discontinuously until 1902. • In 1903 the Hang Gong Wheel of Fortune was found and 109 tons of tin concentrates were produced in 1905. In 1906, the mine produced 80 tons of concentrates, but it was exhausted and closed down the following year after a total of 189 tons of concentrates had been won. • By 1909 activity was limited to Leviathan and Bells Mona mines in the area with little activity in the period 1907 to 1909. • Renewed activities in 1925 coincided with the granting of exclusive prospecting licences over an area of 26 square miles in the Bynoe Harbour – West Arm section but once again nothing eventuated. • The records of production for many mines are not complete, and in numerous cases changes have been made to the names of the mines and prospects which tend to confuse the records still further. In many cases the published names of mines cannot be linked to field occurrences. • In the early 1980s the Bynoe Pegmatite field was reactivated during a period of high tantalum prices by Greenbushes Tin which owned and operated the Greenbushes Tin and Tantalite(and later spodumene)Mine in WA.

Core Lithium Ltd | ABN 80 146 287 809 | ASX: CXO | www.corelithium.com.au

==> picture [515 x 102] intentionally omitted <==

Greenbushes Tin Ltd entered into a JV named the Bynoe Joint Venture with Barbara Mining Corporation, a subsidiary of Bayer AG of Germany.

• Greenex (the exploration arm of Greenbushes Tin Ltd) explored the Bynoe pegmatite field between 1980 and 1990 and produced tin and tantalite from its Observation Hill Treatment Plant between 1986 and 1988. An abandoned open cut to 10m depth remains at BP33.

• They then tributed the project out to a company named Fieldcorp Pty Ltd who operated it between 1991 and 1995.

• • In 1996, Julia Corp drilled RC holes into representative pegmatites in the field, but like all of their predecessors, did not assay for Li.

• Since 1996 the field has been defunct until recently when exploration has begun on ascertaining the lithium prospectivity of the Bynoe pegmatites.

• • The NT geological Survey undertook a regional appraisal of the field, which was published in 2004 (NTGS Report 16, Frater 2004).

Geology • Deposit type, geological setting and style of mineralisation.

• The tenements cover the northern portion of a swarm of complex zoned rare element pegmatite field, which comprises the 55km long by 10km wide West Arm – Mt Finniss pegmatite belt (Bynoe Pegmatite Field; NTGS Report 16). The main pegmatites in this belt include Mt Finniss, Grants, BP33, Hang Gong and Sandras

• • The Finniss pegmatites have intruded early Proterozoic shales, siltstones and schists of the Burrell Creek Formation which lies on the northwest margin of the Pine Creek Geosyncline. To the south and west are the granitoid plutons and pegmatitic granite stocks of the Litchfield Complex. The source of the fluids that have formed the intruding pegmatites is generally accepted as being the Two Sisters Granite to the west of the belt, and which probably underlies the entire area at depths of 5-10 km.

• • Lithium mineralisation has been identified as occurring at Bilato’s (Picketts), Saffums 1 (amblygonite) and more recently at Grants, BP33 and Sandras.

Core Lithium Ltd | ABN 80 146 287 809 | ASX: CXO | www.corelithium.com.au

• Drill hole • A summary of all information material to the understanding of the Information exploration results including a tabulation of the following information for all Material drill holes:

  • easting and northing of the drill hole collar

  • elevation or RL (Reduced Level – elevation above sea level in metres) of the drill hole collar

  • dip and azimuth of the hole

  • down hole length and interception depth

  • hole length.

• If the exclusion of this information is justified on the basis that the information is not Material and this exclusion does not detract from the understanding of the report, the Competent Person should clearly explain why this is the case.

• RC drillhole location and orientation data compiled in Table below.

• Significant intercept data contained in Tables within body of release.

• RAB collar locations sufficiently defined in Hang Gong Figure in release.

• • RAB holes drilled to between 3m and 30m deep, generally dipping at 60 degrees, and with azimuth either towards E or W.

• The absolute depth of pegmatite intercepts is not considered material to the Figure in which it was used.

	Hole_ID	Prospect	Tenement	Drill	Easting Northing	RL	Azimuth	Dip	Total_
				Type					Depth
	NRC038	Carlton	EL30015	RC	693875 8597840	24.95	281.27	-60.99	154
	NRC039	Carlton	EL30015	RC	693835 8597809	25.68	283.45	-60.54	118
	NRC040	Carlton	EL30015	RC	693867 8597796	25.5	282.59	-60.28	160
	NRC041	Hang Gong	EL30015	RC	694000 8599002	13.33	0	-90	196
	NRC042	Hang Gong	EL30015	RC	694199 8598800	20.95	0	-90	208
	NRC043	Hang Gong	EL30015	RC	694403 8598656	20.96	0	-90	196
	NRC044	Hang Gong	EL30015	RC	694467 8598501	20.3	0	-90	200
	NRC045	Hang Gong	EL30015	RC	694302 8599004	16.7	0	-90	76
	NRC051	Carlton	EL30015	RC	693863 8597739	26.77	282	-60	172
	NRC052	Carlton	EL30015	RC	693914 8597827	23.68	278.9	-61.16	214
	NRC053	Carlton	EL30015	RC	693941 8597912	22.4	272.55	-60.18	214
	NRC054	Carlton	EL30015	RC	693909 8597994	22.45	280.64	-65.08	178
	NRC055	Carlton	EL30015	RC	693903 8597791	24.43	285	-59	130
	NRC058	Hang Gong	EL30015	RC	694300 8598675	22.51	300	-85	42
	NRC059	Hang Gong	EL30015	RC	694291 8598685	22.52	302.56	-84.78	198
	NRC060	Hang Gong	EL30015	RC	694194 8598603	18.04	180.93	-84.48	216
	NRC061	Hang Gong	EL30015	RC	694393 8598904	18.02	188.88	-85.14	228

Core Lithium Ltd | ABN 80 146 287 809 | ASX: CXO | www.corelithium.com.au

	Data aggregation methods	• In reporting Exploration Results, weighting averaging techniques, maximum and/or minimum grade truncations (e.g. cutting of high grades) and cut-off grades are usually Material and should be stated. • Where aggregate intercepts incorporate short lengths of high grade results and longer lengths of low grade results, the procedure used for such	• Sample compositing reported here are calculated length weighted averages of the 1 m assays. Length weighted averages are acceptable method because the density of the rock (pegmatite) is constant. • 0.4% Li2O was used as lower cut off grades for compositing and reporting intersections with allowance for including up to 3m of consecutive drill material of below cut-off grade (internal dilution).
		aggregation should be stated and some typical examples of such aggregations should be shown in detail. • The assumptions used for any reporting of metal equivalent values should be
		clearly stated.
	Relationship between mineralisation widths and intercept lengths	• These relationships are particularly important in the reporting of Exploration Results. • If the geometry of the mineralisation with respect to the drill hole angle is known, its nature should be reported. • If it is not known and only the down hole lengths are reported, there should be a clear statement to this effect (e.g. ‘down hole length, true width not _known’). _	• The oblique nature of drillholes with respect to geology is discussed above. Because of the dip of the hole, drill intersections are apparent thicknesses and overall geological context is needed to estimate true thicknesses. Refer to figures in report.
	Diagrams	• Appropriate maps and sections (with scales) and tabulations of intercepts should be included for any significant discovery being reported These should include, but not be limited to a plan view of drill hole collar locations and appropriate sectional views.	• See figures in release
	Balanced reporting	• Where comprehensive reporting of all Exploration Results is not practicable, representative reporting of both low and high grades and/or widths should bepracticed to avoid misleading reporting of Exploration Results.	• Exploration results are discussed in the report and shown in figures.
	Other substantive exploration data	• Other exploration data, if meaningful and material, should be reported including (but not limited to): geological observations; geophysical survey results; geochemical survey results; bulk samples – size and method of treatment; metallurgical test results; bulk density, groundwater, geotechnical and rock characteristics; potential deleterious or contaminating substances.	• See release details. • All meaningful and material data reported.
	Further work	• The nature and scale of planned further work (e.g. tests for lateral extensions _or depth extensions or large-scale step-out drilling). _	• Core will undertake follow up drilling at each of these prospects in due course.

Core Lithium Ltd | ABN 80 146 287 809 | ASX: CXO | www.corelithium.com.au

• Diagrams clearly highlighting the areas of possible extensions, including the main geological interpretations and future drilling areas, provided this information is not commercially sensitive.

Core Lithium Ltd | ABN 80 146 287 809 | ASX: CXO | www.corelithium.com.au