First Lithium Limited (ASX:FL1) has announced that the government of Mali has confirmed the renewal of its Gouna and Faraba exploration licences for a further three-year period, with the decree issued by the General Secretariat of the Government within the Prime Minister's office and valid from 4 September 2026.

Key Points

  • The Mali government has confirmed renewal of the Gouna and Faraba licences for a further three years from 4 September 2026.
  • FL1 will now work with resource consultants to complete the maiden JORC resource for the project, with timing anticipated in Q4 2026.
  • The company has drawn $800,000 of its current $1,200,000 loan facility.
  • FL1 will seek re-admission to trading on the ASX, including a further placement to meet exploration expenditure and reinstatement requirements.

Licence Renewal Terms and Conditions

The decree from the General Secretariat of the Government confirmed a number of specific terms governing the renewed licences. These include confirmation of the legal description of both the Gouna and Faraba licence areas, minimum expenditure commitments on both licenced areas for the three-year period, rehabilitation commitments on completion of works, and an obligation to ensure only exploration activities are undertaken throughout the period. The company is also required to apply for a mining licence before undertaking any mining activities and must comply with all relevant mining legislation and regulatory obligations for exploration.

Maiden JORC Resource and Project Progression

With licence renewals now confirmed, First Lithium stated it will liaise with resource consultants to complete and finalise the maiden JORC resource for the project, a process that had been held up pending the licence renewals. The company said the timing of the resource report will be communicated to the market in due course but is anticipated in Q4 2026. Managing Director Venkatesh Padala said the granting of the licence renewals would allow the company to finalise the maiden JORC resource and plan for further exploration and development of the project.

Funding Position and Re-Admission to ASX Trading

First Lithium disclosed it has drawn $800,000 of its current $1,200,000 loan facility. The company said it will seek re-admission to trading on the ASX, which will include a further placement to be confirmed, intended to meet the expected exploration expenditure of the project for the next 12 months and to satisfy ASX reinstatement requirements. Under the terms of the existing loan agreement, it is expected the debt will be converted to equity on re-instatement or shortly thereafter, subject to any required shareholder approvals under the Corporations Act and ASX Listing Rules, including ASX Listing Rules 7.1 or 10.11 where applicable. The company will also seek shareholder approval under ASX Listing Rule 7.1 for the issue of any Broker Options.