Lithium world asks if surprise mine shutdown can arrest slump
Lithium spot prices have tumbled almost 90% since late 2022.
Atlantic Lithium (ASX: A11) has achieved a key milestone by securing the environmental permit for its flagship Ewoyaa project in Ghana, which will be the West African country’s first lithium operation.
Obtaining the licence is the result of a collaborative effort with local stakeholders and Ghana’s Environmental Protection Agency (EPA), Atlantic Lithium said. It noted the agency’s decision also represents a nod of approval to the company’s proposed activities at the project, as detailed in the environment impact statement (EIS).
“This approval is a testament to Atlantic Lithium’s commitment to acting as a responsible custodian of the land on which we operate, which we consider to be imperative to the long-term success of the project,” chief executive Nel Herbert said in the statement.
The Africa-focused lithium explorer and developer, which secured a 15-year mining permit for the project in 2023, expects to break ground before year-end.
Half of the lithium produced at Ewoyaa will be sent to a refinery of US-based Piedmont Lithium (NASDAQ, ASX: PLL), which is the Australian firm’s second-largest shareholder and has agreed to provide most of the funds for building the mine.
Atlantic Lithium aims to produce a total of 3.6 million tonnes of spodumene concentrate, or 350,000 tonnes annually, over 12 years from the site. That would make it the world’s 10th-biggest lithium project, according to the company.
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