Announcement PDF Interim Consolidated Financial Statements for the half year ended 31 December 2023 1 Contents Directors’ Report 3 Auditor’s Independence Declaration 7 Financial Report 8 Statement of Profit or Loss and Other Comprehensive Income 8 Statement of Financial Position 9 Statement of Changes in Equity 10 Statement of Cash Flows 11 Notes to the Consolidated Financial Statements 12 Directors’ Declaration 26 Independent Auditor’s Review Report 27 This Report covers Core Lithium Ltd ("Core", the "Parent" or the "Company") and its subsidiaries, collectively referred to as "the Group". The financial report is presented in Australian dollars. Its registered office and principal place of business is: Core Lithium Ltd Level 9, 2 Mill Street Perth 6000 Western Australia 2 Directors’ Report Your directors present their report together with the financial statements of the consolidated entity being Core Lithium Ltd (“Core” or “the Company”) and its controlled entities (“the Group”) for the half year ended 31 December 2023 and the Independent Auditor’s Review Report therein. Directors The Directors of the Company who held office during the half year and up to the date of this report are stated below. Directors were in office for this entire period unless otherwise stated. Greg English Heath Hellewell Malcolm McComas Andrea Hall Non-Executive Chair Non-Executive Director Non-Executive Director Non-Executive Director (resigned 12 March 2024) Review of operations and financial results for the period Finniss Operations During the six months ending 31 December 2023 (HY24), a total of 49,530 tonnes (t) of spodumene concentrate was produced at an average grade of 4.8%. This was produced with an average cash operating unit cost for HY24 of $1,926/t. There was significant progress made in both the mine and processing plant that led to improved productivity and record production. Continuous recovery improvement was demonstrated during the period with monthly recovery reaching as high as 63%. During HY24, there was a focus on building consistent ore supply to the Run of Mine pad (ROM) with ore stockpile at 31 December 2023, totalling 289kt. Despite the improvement in production, the market deteriorated in the HY24 period, with a significant fall in the lithium price over the past 12 months down 85% to US$950/t at 31 December 2023. The BP33 early works were suspended during December 2023. As a result of the significant fall in the lithium price, post half year end, on 5 January 2024, Core announced the suspension of mining at the Grants open pit operation. Consequently, activity has been reduced to processing existing ROM stockpiles, which are expected to be depleted by mid-2024. The Group will continue to monitor the lithium market in considering a possible restart of mining at the Grants open pit. Further detail on the impact of these matters is discussed below in the significant changes to the state of affairs. Sustainability In HY24, Core continues to refine sustainability frameworks, systems, and protocols in line with leading practice guidelines. The focus on Critical Risk Management (CRM) continued during the period. The integration of CRM into assessments of material safety risk events was finalised and ready for implementation. The health monitoring program continued with a full year of monitoring data set to inform risk management activities and control effectiveness programs. Water storage and discharge infrastructure construction continued and was commissioned in preparation for the upcoming wet season. An updated water management strategy was prepared to reflect the increased sizing of water storage facilities and the improved linkage of facilities and operational efficiency. Telemetered water monitoring stations have been installed at downstream sites to improve the data which informs our operational water strategy. 3 Financial Overview Summarised below is a reconciliation of the Group’s underlying performance, (non-lFRS measure) to the reported Loss after income tax: HY24 $000’s Sales 134,796 Cash cost of sales (72,458) Non-cash inventory net realisable value adjustment (NRV) (28,074) Corporate expenses (13,715) Other operating cost (4,287) Onerous contract expenses (27,582) Foreign currency loss (134) EBITDA1 (11,454) Impairment of non-financial assets (119,647) Impairment of capitalised exploration expense (792) Depreciation and Amortisation (33,635) EBIT1 (165,528) Finance costs (1,451) Interest and other income 4,221 Operating Loss before income tax (162,758) Income tax expense (4,862) Loss after income tax (167,620) 1. This financial performance summary is a non-IFRS measure and is unaudited. Financial Performance The Group generated revenue for HY24 of $134.8 million from shipments of spodumene concentrate and fines. The cash cost of sales of $72.5 million represents the mining, processing and site general and administration costs. Other operating cost mainly relates to royalties that were payable to the Northern Territory Government of $1.4 million and to Lithium Royalty Corporation of $2.0 million and demobilisation cost for the mining contractor of $2.3 million. The Group’s earnings before interest tax, depreciation and amortisation (EBITDA) were a loss of $11.5 million. This EBITDA loss reflects the impact of non-cash NRV adjustments of $28.1 million and provision for onerous contracts of $27.6 million. Before the one-off impact of onerous contract expenses, the EBITDA would be an income of $16.1 million. As a result of the decision to suspend mining at the Grants open pit and the decline in lithium prices, an impairment loss of $119.6 million was recorded. Total depreciation and amortisation across the Group was $33.6 million. In summary, the Group reported a net loss after tax of $167.6 million. Financial Position As at 31 December 2023, Core had cash of $124.8 million and inventory with a net realisable value of $33.6 million (a majority being the ore stockpiled in preparation for the wet season). The Group has derecognised its deferred tax assets, which related to tax losses that were expected to be recouped against future taxable income. Sales and Marketing Core sold 54.1kt of spodumene concentrate in the HY24 period, at an average realised price (spodumene concentrate 6% equivalent) of US$2,098/t1 and 46.3kt of lithium fines at an average realised price of US$106/t. The pricing mechanism includes adjustments for grade and a price settlement period. Pricing periods used to adjust provisional pricing are typically a two-month period, including the month of shipment, which is intended to ensure final pricing is better aligned with the time of delivery of product to the end customer. Based on the current lithium pricing, a repayment of $13.7 million has been recognised as a financial liability for the November and December shipments. Core is currently in discussions with its offtake partners regarding future delivery schedules and the potential impact of the decision to suspend mining on the long-term offtake agreements. 1 This SC6 price is before grade adjustments and penalties associated with Core’s lower grade concentrate, which averaged 4.8% in the period. 4 Exploration and Studies Core continued to work to grow the Finniss Lithium Project’s Mineral Resources and undertook extensive drilling in the HY24 period. Total exploration expenditure for the HY24 period was $21.5 million, directed towards resource definition drilling at BP33 and Carlton and extension and definition drilling of other known deposits at Lees-Booths, Ah Hoy, Penfolds and Hang Gong. Geophysical and geochemical surveys were also undertaken to identify new targets and were successful in identifying a number of anomalies which warrant further exploration attention. While some of this work commenced prior to the onset of the wet season, this work has provided additional exploration targets across the Finniss leases. An updated Mineral Resource estimate for BP33 was announced on 16 October 2023 with an increase in the proportion of the Measured and Indicated categories to 9.36Mt, 89% of the total Mineral Resource Estimate. Infill drilling completed as part of the Resource’s Definition program has led to an increase in the average grade and resource estimate at BP33 from 10.1Mt at 1.48% Li2O2 to 10.5Mt at 1.53% Li2O3. As announced, the BP33 early works was suspended and all construction and infrastructure material delivered to site will be secured until a decision is made to recommence the early works at BP33. Work continues on the BP33 updated feasibility study, with BP33 Final Investment Decision (FID) deferred until market conditions improve. Significant changes to the state of affairs As detailed above, there has been a significant change in the operations at the Finniss Lithium Project. Additionally, the Group announced the termination of the mining services agreement with Lucas Total Contract Solutions (Lucas) by mutual agreement. 4 Operational activity has been reduced to processing existing ore stockpiles with ~289kt on the ROM pad at 31 December 2023. Core remains debt-free with a cash balance of $124.8 million at the end of the period. The Group has moved to reduce costs and preserve cash. Core will strictly assess capital allocation with the aim of emerging from the current market conditions in the best condition possible. The Group retains significant exploration potential, both within the Finniss region and its broader tenement portfolio which includes the Shoobridge and Anningie Barrow Creek lithium projects as well as the Napperby uranium project. Key risks and uncertainties As detailed above, subsequent to 31 December 2023 the nature of Core’s business has changed. In light of these circumstances, the key risks that may impact Core’s financial and operating results in the future are presented below:  Health and safety: managing inherent hazards to safeguard physical and psychological health, ensuring activities are executed to minimise risks.  Operational delivery: with a focus on processing existing stockpiles, ensuring constant engagement with our contractors, and detailed planning is required to mitigate operational risks. Ensuring timely delivery of products to customers in a rapidly changing environment.  Financial resilience: as highlighted by the recent significant fall in the lithium prices, the Group will continue to manage revenue uncertainty and currency risks to maintain financial stability in the face of market volatility.  Growth and development: the cessation of mining at the Grants open pit and the processing of stockpiles are expected to finish in mid-2024. The Group will focus on growth strategies, acknowledging uncertainties in mineral resources and reserves estimation and recognising the desire to retain a strong financial position should prices improve.  Mining and processing risks and insurance risks: insurance is maintained to mitigate inherent operational hazards, acknowledging potential impacts on financial performance.  Legal and regulatory compliance: monitoring legal requirements and implementing checks within contracts ensures that the changing nature of operations complies with regulatory standards.  Social licence to operate: maintaining community relations by fulfilling promises and adapting to changing societal expectations through regular communication.  Environment, including climate change: committing to environmental stewardship, considering climate 2 The BP33 Mineral Resource of announced on 6 March 2023 is comprised of Measured Resource 2.85Mt @ 1.46% Li2O, Indicated Resource 4.09Mt @ 1.53% Li2O and Inferred Resource 3.17Mt @ 1.45% Li 2O. 3 The BP33 Mineral Resource of announced on 16 October 2023 is comprised of Measured Resource 2.85Mt @ 1.44% Li 2O, Indicated Resource 6.51Mt @ 1.55% Li2O and Inferred Resource 1.14Mt @ 1.59% Li 2O. Core confirms that the Company is not aware of any new information or data that materially affects the Mineral Resource Estimates cross referenced in this report and confirms that all material assumptions and technical parameters underpinning the estimates continue to apply and have not materially changed. 4 Refer to ASX announcement dated 28th February 2024. 5 change impacts, and mitigating risks to maintain operational integrity and future viability.  Anti-corruption and ethical misconduct: establishing processes and fostering a culture of ethical behaviour mitigate risks of misconduct.  Cybersecurity: protocols and governance frameworks are in place to manage cyber risks across IT infrastructure. This half-year financial report includes a summary of the operating and financial risk management disclosures required for an annual report. It should be read in conjunction with the Group’s most recent Annual Report, available on the Company’s website. Readers are encouraged to carefully review and contemplate these risks when assessing the information presented in this report. Risk management Core has a Risk and Sustainability Committee that is tasked, among other things, with consistently identifying and assessing risks to the business. Details about this Committee and the Group’s 2023 Corporate Governance Statement are available on our website at www.corelithium.com.au/about/corporate-governance. Rounding of amounts Amounts in this report and the accompanying financial report have been rounded to the nearest thousand dollars ($'000) unless otherwise stated under the option available to the Company under ASIC Corporations (Rounding in Financial/Directors' Report) Instrument 2016/191. The Company is an entity to which the instrument applies. Events arising since the end of the reporting date On 5 January 2024, the Group announced that mining at Grants open pit and BP33 early works program had been suspended due to the significant fall in the lithium price. As at 31 December 2023, the Group had ~289kt of ore stockpiles and it is expected it will take approximately 6 months to process this material. On 28 February 2024, the Group announced the mining services agreement with Lucas had been terminated by mutual agreement. On 12 March 2024, the Group announced the resignation of non-executive director Andrea Hall and Gareth Manderson stepping down from the CEO role, with Doug Warden appointed interim CEO, and James Virgo appointed interim CFO. Subsequent to period end, the Group advised Primero that the operation and maintenance agreement for the DMS plant would end once the processing of the remaining ROM stocks was completed. No other matters or circumstances have arisen since the end of the half year which significantly affected or may significantly affect the operations of the Group, the results of those operations or the state of affairs of the Group in subsequent financial years. Greg English Non-Executive Chair 12 March 2024 6 Auditors Independence Declaration Grant Thornton Audit Pty Ltd Grant Thornton House Level 3 170 Frome Street Adelaide SA 5000 GPO Box 1270 Adelaide SA 5001 T +61 8 8372 6666 Auditor’s Independence Declaration To the Directors of Core Lithium Limited In accordance with the requirements of section 307C of the Corporations Act 2001, as lead auditor for the review of Core Lithium Limited for the half-year ended 31 December 2023. I declare that, to the best of my knowledge and belief, there have been: a no contraventions of the auditor independence requirements of the Corporations Act 2001 in relation to the review; and b no contraventions of any applicable code of professional conduct in relation to the review. GRANT THORNTON AUDIT PTY LTD Chartered Accountants J L Humphrey Partner – Audit & Assurance Adelaide, 12 March 2024 www.grantthornton.com.au ACN-130 913 594 Grant Thornton Audit Pty Ltd ACN 130 913 594 a subsidiary or related entity of Grant Thornton Australia Limited ABN 41 127 556 389 ACN 127 556 389. ‘Grant Thornton’ refers to the braunder which the Grant Thornton member firms provide assurance, tax and advisory services to their clients and/or refers to one or more member firms, as the context requires. Grant Thornton Australia Limited is a member firm of Grant Thornton International Ltd (GTIL). GTIL and the member firms are not a worldwide partnership. GTIL and each member firm is a separate legal entity. Services are delivered by the member firms. GTIL does not provide services to clients. GTIL and its member firms are not agents of, and do not obligate one another and are not liable for one another’s acts or omissions. In the Australian context only, the use of the term ‘Grant Thornton’ may refer to Grant Thornton Australia Limited ABN 41 127 556 389 ACN 127 556 389 and its Australian subsidiaries and related entities. Liability limited by a scheme approved under Professional Standards Legislation. 7 STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME For the half year ended 31 December 2023 Notes Revenue from contracts with customers Cost of sales 3 31 December 2023 31 December 2022 $'000 134,796 $'000 - (132,613) - Gross profit 2,183 - Interest income 3,060 1,004 Other income 1,161 - Operating expenses 4 (5,744) - Onerous contracts provision expense 13 (27,582) - General and administration expenses 5 (13,812) (8,830) Impairment of non-financial assets 9 (119,647) - Impairment of capitalised exploration expense 7 (792) (1,049) (1,451) (329) (134) (29) (162,758) (9,233) (4,862) - (167,620) (9,233) - - (167,620) (9,233) Basic loss per share (8.16) (0.52) Diluted loss per share (8.16) (0.52) Finance costs Foreign currency loss Loss before income tax expense Income tax expense Net loss for the period Other comprehensive income Total comprehensive loss for the period 10 Earnings per share from continuing operations This statement should be read in conjunction with the notes to the financial statements. 8 STATEMENT OF FINANCIAL POSITION As at 31 December 2023 31 December 2023 $'000 30 June 2023 Cash and cash equivalents 124,826 152,786 Trade and other receivables 10,197 6,745 570 160 33,595 28,851 2,052 3,191 171,240 191,733 11,922 11,802 7 74,323 53,572 Plant, equipment, and mine development assets 8 135,186 241,174 Deferred tax asset 10 - 4,862 Total non-current assets 221,431 311,410 TOTAL ASSETS 392,671 503,143 31,967 30,978 14,865 83,623 1,305 2,368 Notes $'000 ASSETS Current assets Other financial assets Inventories 6 Other assets Total current assets Non-current assets Other assets Exploration and evaluation assets LIABILITIES Current liabilities Trade and other payables Financial liabilities 11 Other liabilities Lease liabilities 12 2,273 3,461 Provisions 13 11,274 569 61,684 120,999 Total current liabilities Non-current liabilities Lease liabilities 12 3,314 19,483 Provisions 13 32,069 7,739 Total non-current liabilities 35,383 27,222 TOTAL LIABILITIES 97,067 148,221 NET ASSETS 295,604 354,922 478,632 370,940 958 532 (183,986) (16,550) 295,604 354,922 EQUITY Issued capital Reserves Accumulated losses TOTAL EQUITY This statement should be read in conjunction with the notes to the financial statements. 9 14 STATEMENT OF CHANGES IN EQUITY For the half year ended 31 December 2023 Issued Accumulated losses $'000 Total equity $'000 (16,550) 354,922 Balance at 1 July 2023 Reserves capital $'000 $'000 370,940 532 Issue of shares - share placement 100,000 - - 100,000 Issue of shares - Shares Purchase Plan (SPP) 11,368 - - 11,368 Issue costs – net of tax Performance rights issued to officers and employees at fair value Lapse of performance rights at fair value (3,676) - - (3,676) - 610 - 610 - (184) 184 - Transactions with owners 478,632 958 (16,366) 463,224 Total profit or loss - - (167,620) (167,620) Total other comprehensive income - - - - 478,632 958 (183,986) 295,604 Reserves Accumulated losses $'000 Total equity $'000 454 (27,397) 238,725 2023 Comprehensive income: Balance 31 December 2023 Issued 2022 capital Balance at 1 July 2022 $'000 265,668 Issue of shares - share placement 100,000 - - 100,000 Issue costs Performance rights and options issued to officers and employees at fair value Fair value of performance rights and options lapsed (3,781) - - (3,781) - 99 - 99 - (38) 38 - 1,487 (68) - 1,419 135 (135) - - 363,509 312 (27,359) 336,462 Total profit or loss - - (9,233) (9,233) Total other comprehensive income - - - - 363,509 312 (36,592) 327,229 Exercise of options Exercise of performance rights at fair value Transactions with owners $'000 Comprehensive income: Balance 31 December 2022 This statement should be read in conjunction with the notes to the financial statements. 10 STATEMENT OF CASH FLOWS For the half year ended 31 December 2023 31 December 2023 $'000 31 December 2022 $'000 Receipts from customers 67,750 - Interest received 3,060 1,004 (125,048) (13,408) (549) - (54,787) (12,404) (53,839) (84,181) (22,495) (9,951) 42 - - 86 (530) - Net cash used in investing activities (76,822) (94,046) Financing activities Proceeds from the issue of share capital 111,368 100,000 - 1,737 Payments of share issue transaction costs (3,675) (3,781) Payments of lease liabilities (2,670) (1,365) Net cash from financing activities 105,023 96,591 Net change in cash and cash equivalents (26,586) (9,859) Net foreign exchange difference (1,374) - Cash and cash equivalents at the beginning of the period 152,786 135,198 Cash and cash equivalents at the end of the period 124,826 125,339 Operating activities Payments to suppliers and employees Interest paid Net cash used in operating activities Investing activities Payments for plant, equipment, and mine development assets Payments for capitalised exploration and evaluation expenditure Proceeds from disposal of plant and equipment Government co-funding grants received Payments for environmental and security bonds Proceeds from exercise of options This statement should be read in conjunction with the notes to the financial statements. 11 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS For the half year ended 31 December 2023 1 Statement of significant accounting policies a) Reporting entity Core Lithium Ltd (the “Company”) is a listed public company registered and domiciled in Australia. These consolidated interim financial statements (“interim financial statements”) as at and for the 6 months ended 31 December 2023 comprise the Company and its subsidiaries (together referred to as the “Group”). The Group is an Australian hard-rock lithium mining company that owns and operates the Finniss Lithium Project on the Cox Peninsula, 88km south-west of the Darwin Port in the Northern Territory. b) General information and basis of preparation The interim financial statements of the Group are for the six months ended 31 December 2023 and are presented in Australian dollars ($) which is the functional currency of the Group. The amounts contained in the financial report have been rounded to the nearest $1,000 (where rounding is applicable) where noted ($000).These general purpose interim financial statements have been prepared in accordance with the requirements of the Corporations Act 2001 (Cth) and AASB 134 Interim Financial Reporting. They do not include all the information required in annual financial statements in accordance with AASB and should be read in conjunction with the consolidated financial statements of the Group for the year ended 30 June 2023 and any public announcements made by the Group during the half year in accordance with the continuous disclosure requirements arising under the Australian Securities Exchange Listing Rules and the Corporations Act 2001 (Cth). The Group is a for profit entity for the purposes of preparing its financial statements. The interim financial statements have been approved and authorised for issue by the board of directors on 12 March 2024. c) Critical accounting estimates and judgements The Directors evaluate estimates and judgements incorporated into the interim financial report based on historical knowledge and best available current information. Estimates assume a reasonable expectation of future events and are based on current trends of economic data, obtained both externally and within the Group. d) Onerous contracts If the Group has a contract that is onerous, the present obligation under the contract is recognised and measured as a provision. However, before a separate provision for an onerous contract is established, the Group recognises any impairment loss that has occurred on assets dedicated to that contract. An onerous contract is a contract under which the unavoidable costs (i.e. the costs that the Group cannot avoid because it has the contract) of meeting the obligations under the contract exceed the economic benefits expected to be received under it. The unavoidable costs under a contract reflect the least net cost of exiting from the contract, which is the lower of the cost of fulfilling it and any compensation or penalties arising from failure to fulfil it. The cost of fulfilling a contract comprises the costs that relate directly to the contract (i.e. both incremental costs and an allocation of costs directly related to contract activities). 12 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS For the half year ended 31 December 2023 2 Operating segments Management has determined the operating segments based on internal reports about components of the Group that are regularly reviewed by the CEO as Chief Operating Decision Maker (CODM), to make strategic decisions. The Group has identified two reportable segments of its business:  Finniss Lithium Project mining, crushing and processing operations. Mining at Grants open pit and BP33 early works program has been suspended due to the significant deterioration in the lithium price. Processing existing stockpiles will continue for up to six months. The Group will continue to monitor the lithium market in considering a possible restart of mining at the Grants open pit.  Exploration: exploration and evaluation of primarily lithium mineralisation. The CODM monitors performance in these areas separately. Unless stated otherwise, all amounts reported to the CODM are determined in accordance with accounting policies that are consistent with those adopted in the annual financial statements of the Group. Operating segment performance details for the six-month periods ended 31 December 2023 and 31 December 2022 are set out below: Segment results December 2023 Segment results Segment revenue Cost of sales Gross profit Exploration and evaluation assets and impairment Other operating expenses Onerous and general contract expenses Impairment of non-financial assets Segment margin Interest income Other income General and administration expense Finance costs Foreign currency loss Loss before tax December 2022 Segment results Segment revenue Cost of sales Gross profit Exploration and evaluation assets and impairment Other operating expenses Segment margin Interest income Finance costs Other expenses Loss before tax 13 Finniss Lithium Project Exploration $’000 $’000 134,796 (132,613) 2,183 (792) (5,744) (27,582) (119,647) (150,790) (792) Finniss Lithium Project Exploration $'000 $'000 (1,049) (3,238) (3,238) (1,049) Total $'000 134,796 (132,613) 2,183 (792) (5,744) (27,582) (119,647) (151,582) 3,060 1,161 (13,812) (1,451) (134) (162,758) Total $'000 (1,049) (3,238) (4,287) 1,004 (329) (5,621) (9,233) NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS For the half year ended 31 December 2023 2 Operating segments (cont.) Operating segment assets are reconciled to total assets as follows: 31 December 30 June 2023 $’000 2023 $’000 Finniss Lithium Project 197,246 288,957 Exploration 64,141 54,370 Total segment assets 261,387 343,327 124,826 152,786 1,218 582 570 160 1,042 796 - 4,862 3,628 630 392,671 503,143 31 December 30 June 2023 $’000 2023 $’000 90,232 140,985 14 4,246 90,246 145,231 Trade and other payables 1,396 2,232 Financial liabilities 1,305 - Lease liabilities 3,468 333 652 425 97,067 148,221 Segment assets Unallocated assets: Cash and cash equivalents Other receivables Other financial assets Other assets Deferred tax asset Plant and equipment assets Total assets Operating segment liabilities are reconciled to total liabilities as follows: Segment liabilities Finniss Lithium Project Exploration Total segment liabilities Unallocated liabilities: Provisions Total liabilities 14 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS For the half year ended 31 December 2023 3 Cost of sales 31 December 2023 $’000 68,908 31 December 2022 $’000 22,294 Processing costs 24,233 2,422 Port costs 8,808 643 (2,778) (10,277) Employee benefits expense 2,461 2,015 Depreciation and amortisation expense2 33,538 2,487 Mining cost deferral1 (2,557) (19,584) Total cost of sales 132,613 Mining costs1 Net inventory movement 1 2 - Mining costs are shown as a gross expense with mining cost deferral representing costs associated with waste stripping that are deferred to mine properties in the Statement of Financial Position and amortised over the life of mine. Depreciation & amortisation reflects the amount charged to the profit & loss statement. There was an additional $11.2 million in depreciation & amortisation which was included in inventory at balance date and will be charged to Cost of Sales when the inventory is sold. 4 Operating expenses 31 December 2023 $’000 3,439 Royalties 1 31 December 2022 $’000 - Demobilisation expense1 2,305 - Total operating expenses 5,744 - Demobilisation expense relates to the costs associated with the suspension of mining activit