Atlantic Lithium Ltd (AIM:ALL, OTCQX:ALLIF, ASX:A11) Executive Chairman, Neil Herbert, presented at the Proactive One2One Investor Forum, detailing the company's advancements in its Ghana-based lithium project, Ewoyaa.
Herbert announced the receipt of a mining license in late October, signaling the green light for production, targeted to commence within 18 months. Despite two rejected acquisition offers at a premium to the share price, Herbert emphasised the project's untapped value. Herbert highlighted Ghana's rich mining heritage, noting 20 large-scale operations, including gold, bauxite, and manganese mines.
he Ewoyaa project, set to diversify Ghana's mineral base with lithium, boasts an upgraded mineral resource from 20 million tonnes to 35 million tonnes. The completion of a definitive feasibility study marks a significant step towards production. Ewoyaa's simple mining conditions and gravity circuit processing (DMS) reduce capital expenditure, setting it apart from other lithium projects that require flotation processing.
The project's location near Accra and a major port offers logistical advantages, and its proximity to an existing paved road and upgraded port facilities ensures efficient mineral transport. The project, vital for Ghana, has garnered government support, including increased royalties and a commitment to a community development fund. Significant shareholders, like ASCO International Holdings and Piedmont Lithium (ASX:PLL, OTC:PLLTL), underscore the project's robust economics and low all-in sustaining cash costs, making it competitive globally.
Financing strategies involve partnerships and offtake agreements, with 50% of the offtake still open for securing additional funding. The project timeline anticipates early production by the second quarter of 2025, with full-scale production commencing in 2026.
Herbert's presentation affirmed Atlantic Lithium's commitment to operational readiness, government collaboration, and exploration expansion, asserting the project's potential for long-term profitability and growth in the lithium market.
