A mining boss will receive a major pay rise for performing higher duties.
Doug Warden will be paid an extra $240,000 a year for acting as Core Lithium’s chief executive officer (CEO).
The current chief financial officer’s base salary will increase from $119,016 to $359,016 representing a 201.6 per cent jump.
“Doug will receive a higher duties allowance of $20,000 (plus superannuation) per month for the term of his appointment as interim CEO. All other terms and conditions of Doug’s employment remain unchanged,” the proponent said in a public statement.
The remarks came after the incumbent Gareth Manderson resigned from his CEO role, which paid $625,441 a year plus $254,316 of bonus and a further $221,775 of options and performance rights according to the latest annual report.
“An executive search is underway for a new CEO and Mr Warden’s appointment will minimise disruption to the business, and ensure that the leadership of the company remains focused on delivering Core’s operational and strategic goals,” the company said.
The difficult decision came following a 80 per cent drop in lithium ore prices to US$95,500 (A$144,594) a tonne in the past year. The proponent responded by indefinitely postponing production at its Finniss mine and launching a major restructure.
About 280,000 tonnes of ore stockpiles will continue to be processed until mid 2024 while mining operations are temporarily suspended in the Grants open pit. The strategy is promised to reduce operating expenses and generate stockpile revenue until “market conditions” improve.
The mine, which already has major project status, will also postpone creating 360 construction jobs plus a further 250 operational positions.
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