Anson Resources Updates Green River Economics with US$1.05B Post-Tax NPV

Utah incentives lift Green River post-tax NPV8 to ~US$1.05 billion

Anson Resources (ASX: ASN) has updated the base-case financial model for its Green River Lithium Project in Utah to include two recently approved Utah incentives. The result is a post-tax NPV8 of approximately US$1.046 billion, up from US$896 million in the Scoping Study.

NPV8 means net present value discounted at 8%. In plain terms, it converts a project’s future cash flows into today’s dollars, using an 8% yearly discount to reflect the time value of money.

Pre-tax NPV8 rose from US$1.373 billion to US$1.523 billion, a 10.9% increase. Post-tax NPV8 rose by 16.7%, and both uplifts are approximately US$150 million.

The incentive-adjusted results keep the lithium-price, production, operating-cost and other material assumptions from the 16 June 2026 Scoping Study. Key highlights:

• Pre-tax NPV8 of US$1.523 billion, up 10.9%
• Post-tax NPV8 of US$1.046 billion, up 16.7%
• Both uplifts are approximately US$150 million
• Lithium price, production and operating-cost assumptions are retained

How does the incentive-adjusted model compare with the Scoping Study?

Side-by-side comparison

The table below sets the two sets of results next to each other.

Figures are rounded. The incentive-adjusted results are Company calculations based on the Scoping Study financial model and the assumptions described in the announcement.

The takeaway for you: the lithium price assumption is identical in both columns. No increase was made to the assumed lithium carbonate price to produce the improved NPV results.

How do the two Utah incentives work?

Utah Inland Port Authority (UIPA) incentive

The Utah Inland Port Authority Board approved a business incentive for the project capped at US$193,995,683. It is based on 50% of the projected increase in property-tax revenue generated within the Castle Country Project Area.

It may be available for up to 25 years, subject to the Project’s completion and continued operation.

UIPA may also use the approved tax differential to support bonds that finance eligible public infrastructure. This may include:

• power, water and gas utility extensions;
• rail extensions or upgrades;
• road extensions or upgrades; and
• other qualifying public infrastructure supporting development of the Project.

Anson has commenced discussions with UIPA on using a portion of the incentive to support funding through a third-party bond, to fund eligible infrastructure expenditure as part of the capital required to build the project.

GOED REDTIF tax credit

The Utah Governor’s Office of Economic Opportunity (GOED) approved a post-performance refundable tax credit of approximately US$212 million. It was awarded under Utah’s Rural Economic Development Tax Increment Financing (REDTIF) program.

Tax increment financing links an incentive to new tax revenue a project is expected to generate. Here, the credit is based on 50% of approximately US$425 million in projected incremental Utah State tax revenue expected over 20 years.

“Post-performance” matters because the credit is earned after the project delivers, not paid up front. For investors, that ties the benefit to the project actually operating.

For the model, Anson assumed the credit is earned evenly, equivalent to approximately US$10.6 million per year. Actual annual credits may differ materially, depending on factors including qualifying capital investment, employment and wage commitments, taxes generated and paid, annual verification of performance, and continued Project operations.

The approximately US$212 million is a nominal maximum over the incentive period and is not equivalent to its present value. The updated NPV8 reflects the assumed timing of the annual credits and the 8% discount rate.

Bruce Richardson, Executive Chairman and Chief Executive Officer

“…Based on the assumptions outlined in this announcement, the two incentives increase the Project’s post-tax NPV8 to approximately US$1.046 billion without any increase in the lithium-price assumption used in the original Scoping Study…”

What does it mean for funding and dilution?

The underlying estimated cost of constructing the project remains approximately US$569 million. Anson’s stated strategy is to minimise dilution of existing shareholders while continuing to develop Green River.

Raising capital through a third-party bond, supported by the UIPA tax incentives, is one of the opportunities identified that is expected to reduce dilution. The company states the incentives have the potential to:

1. reduce the amount of conventional capital required to fund supporting infrastructure;
2. improve Project financing metrics;
3. reduce potential equity dilution;
4. strengthen the Project’s ability to attract strategic investment;
5. support discussions with export-credit agencies and government-backed financiers; and
6. demonstrate substantial Utah State and local-government support for the Project.

Anson says the updated post-tax NPV8 further strengthens Green River’s position as a potentially low-cost, capital-efficient source of domestically produced battery-grade lithium carbonate in the United States.

The model retains these Scoping Study assumptions:

• production of 10,000 tonnes per annum of battery-grade lithium carbonate;
• a 20-year operating life;
• estimated C1 operating costs of US$3,837 per tonne of lithium carbonate; and
• an 8% NPV discount rate.

C1 costs are the direct cash costs of producing each tonne, before items such as depreciation.

What happens next through the Definitive Feasibility Study?

The financial model will continue to be refined through the Definitive Feasibility Study (DFS), including confirmation of:

• the final UIPA infrastructure-financing structure;
• the timing and amount of eligible REDTIF credits;
• detailed tax treatment;
• capital and operating costs; and
• financing costs and funding structure.

Anson is working with UIPA, GOED and the relevant local authorities to finalise the applicable agreements and confirm the timing, structure and conditions of the incentives.

You should weigh the uplift against the caveats. The approved maximum incentive amounts are not unconditional cash commitments, and their value and timing depend on the Project proceeding and on performance.

The Project remains exposed to lithium-price movements and other development risks. The statement that the uplift does not rely on lithium-price changes should not be read as meaning the Project’s overall economics are independent of lithium prices.

The Scoping Study is a preliminary study, and its production target is based on a combination of Indicated and Inferred Mineral Resources. Funding in the order of US$569 million is estimated to be required before allowing for the assumed UIPA-supported infrastructure contribution, and there is no certainty it can be secured on acceptable terms.

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