June 2022 Quarterly Report


Outstanding high grade lithium drill results from shallow Resource drilling enhance the potential economics of the Dome North lithium Resource.


HIGHLIGHTS

  • Pioneer Dome Lithium Project, WA: Key operational activities during the Quarter were:

o Assays were received for samples from the diamond core drill (DD)

programme aimed at improving the quality and confidence of the

lithium Mineral Resource Estimate (MRE) with excellent high-grade

intersections recorded, such as:


Cade Deposit:

- 19.2m @ 1.44% Li2O from 15m (PDD596) - 9.6m @ 1.42% Li2O from 14.4m (PDD598) - 23.7m @ 1.26% Li2O from 3.6m (PDD599) - 18.9m @ 1.24% Li2O from 21.1m (PDD600) - 14.7m @ 0.90% Li2O from 11.6m (PDD595)

Davy Deposit:

- 31.95m @ 1.24% Li2O from 45.4m (PDD601) - 17m @ 1.32% Li2O from 97.1m (PDD605) - 18.7m @ 1.05% Li2O from 17m (PDD603) - 11.1m @ 1.70% Li2O from 99.2m (PDD604)

  • Three composite samples were selected to represent the upper zone of the Cade deposit, the upper zone of the Davy deposit and the fresh rock zone of the Davy deposit for metallurgical test work, complementing the successful test work already completed on the fresh rock zone of the Cade deposit.

  • The Company continued to implement its development-ready strategy to be underpinned by preparation of a scoping study in the December quarter.

  • Closing cash on hand as at 30 June 2022 was $10.5 million.

  • Corporate: An unsolicited, confidential, non-binding indicative takeover proposal was received in April from a credible lithium industry participant to acquire 100% of the issued capital of Essential by way of an off-market takeover, however it was subsequently withdrawn in light of the upward trajectory in the trading price of Essential shares around that time.