Atlantic Lithium has concluded negotiations with Ghana’s government on revised fiscal terms for its Ewoyaa Lithium Project and now awaits parliamentary ratification, the final hurdle before construction can begin on what would become Ghana’s first lithium mine.
The Australia-based mining company announced in its quarterly report for the period ended September 30, 2025, that it has secured all necessary regulatory approvals and is waiting for Parliament to ratify the Mining Lease, which was granted in October 2023 but has remained in legal limbo for two years.
Parliament reconvened on October 21, 2025, and the Majority Leader mentioned the Ewoyaa Mining Lease in his opening address as an outstanding mining lease that the Ministry of Lands and Natural Resources would put forward for ratification in the current parliamentary session. However, the company noted that there’s no certainty Parliament will indeed ratify the agreement.
Chief Executive Officer Keith Muller expressed confidence about the renegotiated terms, saying the company greatly appreciated the government’s attentiveness through recent engagements. Having endured a lengthy delay to the project’s development, he said, the company hopes ratification can occur promptly.
The fiscal term revisions came after Atlantic Lithium sought adjustments to the original agreement to reflect prevailing lithium market conditions. When the Mining Lease was granted two years ago, lithium prices were soaring on electric vehicle demand expectations. Since then, prices have plummeted more than 80% from their November 2022 peaks as oversupply coincided with slower electric vehicle adoption rates globally.
Benchmark lithium carbonate prices reached an 11-month high of $12,067 per metric ton in August 2025 but slipped to $11,186 by the end of September, reflecting continued market volatility despite signs of stabilization. Global lithium demand is expected to surpass 1.4 million metric tons in 2025, representing 53% growth compared to 2023, driven primarily by electric vehicle battery requirements.
The Ewoyaa project, located approximately 100 kilometers southwest of Accra in Ghana’s Central Region, comprises eight main deposits including Ewoyaa, Okwesikrom, Anokyi, Grasscutter, Abonko, Kaampakrom, Sill and Bypass. The project’s Definitive Feasibility Study outlines a low capital and operating cost profile, with near-term production potential targeting 350,000 tonnes of spodumene concentrate annually over a 12-year mine life.
The project holds a Mineral Resource Estimate totaling 36.8 million tonnes at 1.24% lithium oxide, including 3.7 million tonnes at 1.37% in the Measured category, 26.1 million tonnes at 1.24% in the Indicated category, and 7 million tonnes at 1.15% in the Inferred category. Ore Reserves stand at 25.6 million tonnes at 1.22% lithium oxide.
Traditional leaders and politicians in the Central Region have united in calling for swift parliamentary ratification, with the Paramount Chief of Nkusukum expressing frustration over delays that have left communities worried. The project is expected to generate over 1,200 jobs during construction and channel 1% of annual revenues into a Community Development Fund for local infrastructure.
Ghana’s entry into the global lithium market has attracted significant attention, with the government securing a 19% equity stake in the project, comprising a 13% free carried interest and an additional 6% through the Minerals Income Investment Fund. The country also raised its royalty rate from 5% to 10% and required local stock exchange listing.
Beyond Ghana, Atlantic Lithium reported encouraging exploration results from its Côte d’Ivoire operations. Post-quarter end, the company announced impressive lithium-in-soil results from Phase 2 and Phase 3 soil sampling across its 100% owned Rubino and Agboville exploration licences.
Results delineate pronounced lithium-in-soil anomalies extending over several kilometers across both licences. Phase 3 soil sampling at Rubino has extended the previously reported anomalous zone over an area of approximately 6 kilometers by 2.5 kilometers, with several distinct linear trends warranting follow-up evaluation.
At Agboville, Phase 2 results have defined a pronounced linear anomaly exceeding 5 kilometers in length, associated with spodumene pegmatite float discovered by the company. Further mapping across the Rubino licence has led to the discovery of new spodumene pegmatite occurrences in rock float.
The company has engaged a specialist corporate advisor to commence a formal process to source funding options that are non-dilutive to shareholders to accelerate exploration of its Côte d’Ivoire licences, located approximately 80 kilometers north of Abidjan.
On the financing front, Atlantic Lithium announced binding agreements with Long State Investments Ltd providing access to up to £28 million over a two-year period. The company completed an initial placing of £2 million through the issue of 24.8 million shares at £0.081 per share, and is seeking shareholder approval at an Extraordinary General Meeting on November 6, 2025, for the first £500,000 placement under the Committed Equity Facility Agreement.
Cash on hand at the end of the September quarter stood at A$4.1 million, down from A$5.4 million at the end of June. The company spent A$4.4 million on exploration, feasibility, and development activities during the quarter, with joint venture partner Elevra Lithium Limited contributing A$2.3 million.
Atlantic Lithium has taken further cost conservation measures, including additional headcount rationalization in Ghana and placing several full-time employees on reduced work schedules. The company made non-recurring restructuring payments totaling A$1.11 million during the quarter and terminated its Perth office lease early at a cost of A$0.18 million.
The company is in dispute with Elevra regarding expenditure definitions under their Project Agreement. Atlantic Lithium believes Elevra is liable to sole fund Development Costs under the agreement, while Elevra contends the contractual preconditions for its sole funding obligation have not been met. Since October 1, 2025, Elevra has reduced its funding from 50% to 22.5%, with Atlantic Lithium now funding 77.5% of project costs.
The financing facility with Long State provides Atlantic Lithium with flexibility and control over placement terms to advance Ewoyaa towards production. The company maintains estimated funding of 10.3 quarters based on current cash and unused financing facilities.
With parliamentary ratification representing the final step in the permitting process, Atlantic Lithium’s path forward depends on Ghana’s legislature acting before year end. The outcome will determine whether Ghana successfully enters the global lithium market or whether the project joins a growing list of mining agreements stalled by prolonged negotiations amid shifting market conditions.
