Core Lithium shares jump 8% after a milestone investors have waited months for

The comeback continues after a huge year for the stock.

It has been quite a turnaround for Core Lithium Ltd (ASX: CXO) shares.

The lithium stock is up another 7.58% to 35.5 cents on Tuesday, taking its gain in 2026 to almost 30%.

However, the rebound has been much bigger over the past 12 months.

Core Lithium shares have climbed around 238% over that time, recovering from a 52-week low of just 9.7 cents. They also recently traded as high as 40 cents.

And today, there is another reason for shareholders to get excited.

A man wearing a suit holds his arms aloft, attached to a large lithium battery with green charging symbols on it.

Image source: Getty Images

Finniss is back in action

According to the release, Core Lithium has produced its first spodumene concentrate from the recommissioned Finniss processing plant in the Northern Territory.

The milestone was reached within 6 months of the final investment decision (FID) and in line with the company's September-quarter target.

The plant is still going through commissioning and optimisation, so there is more work to do before production settles into a steady rhythm. The next big milestone is the first shipment of newly produced spodumene concentrate, which is targeted for the December quarter.

Core Lithium has also used the restart to make several upgrades to the plant, including changes to the crushing circuit and screen refurbishments.

The company expects those improvements to support better recoveries and lift plant throughput by around 20% to 1.2 million tonnes a year.

Managing director Paul Brown said producing first concentrate was "another significant milestone" in the staged restart and pointed to the speed of the recommissioning work completed so far.

A lot has changed in 12 months

After such a big run, Core Lithium shares are in a very different place from a year ago.

At 35.5 cents today, the company is valued at roughly $1.15 billion and the share price is only around 11% below its recent 52-week high of 40 cents.

There has also been plenty of volatility along the way. The shares fell 9.2% last Wednesday and closed Monday at 33 cents before bouncing again today.

The Finniss restart is good news, but investors have already sent the shares much higher.

What happens next?

The next step is getting Finniss from first concentrate into steady production and, ultimately, shipments.

Ore from the Grants open pit is being used during the restart, while work on the BP33 underground mine is continuing at the same time.

After the huge rise in the share price, valuation is also definitely worth keeping an eye on.

TipRanks shows two analyst ratings from the past 3 months, with an average 12-month price target of 28 cents. That's around 21% below where Core Lithium shares are trading today.

Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Materials Shares

Female miner in hard hat and safety vest on laptop with mining drill in background.
Materials Shares

Why are Lynas Rare Earths shares crashing 6% today?

Are Lynas Rare Earths shares a buy, sell, or hold now?

Read more »

Businessman planning and analysing investment data.
Materials Shares

Forget PLS, this ASX lithium stock could rise 80%

Is this lithium miner about to roar higher? Here's what Bell Potter is predicting.

Read more »

Couple using their digital tablet together.
Materials Shares

Orica updates on North American supply and land sales

Orica secures key North American supply and updates on land sales, supporting future growth and shareholder value.

Read more »

Man analysing data on his laptop.
Materials Shares

Forget BHP and buy this ASX copper stock

Bell Potter thinks there could be big returns on offer from this stock.

Read more »

A brightly coloured graphic with a silver square showing the abbreviation Li and the word Lithium to represent lithium ASX shares such as Core Lithium with small coloured battery graphics surrounding
Materials Shares

Why are Core Lithium shares crashing 8% on Thursday?

A busy morning of announcements has investors taking notice.

Read more »

a man clasps his hand to his forehead as he looks down at his phone and grimaces with a pained expression on his face as he watches the Pilbara Minerals share price continue to fall
Materials Shares

PLS shares have surged 85% in a year. So why are short sellers circling?

Could the bears be getting ahead of themselves?

Read more »

Senior farmer in overalls standing beside flood area on field.
Materials Shares

Why is this ASX share crashing 8% on Wednesday?

A positive earnings outlook hasn't stopped the selling.

Read more »

A man and woman sit next to each other looking at each other and feeling excited and surprised after reading good news about their shares on a laptop.
Materials Shares

3 reasons to buy BHP shares for 2027

I take a closer look at what could keep this mining giant growing well beyond 2027.

Read more »