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Ghana secures 5% stake in Atlantic Lithium

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Ghana’s Significant Investment in Atlantic Lithium

Ghana’s Strategic Move

Recently, Ghana Investment Funds for Electronic, Electrical and Automotive Industries (MIIF) has taken a substantial 5% stake in Atlantic Lithium. Not stopping there, the move also grants MIIF a remarkable 6% in Ewoyaa, a mining project with auspicious prospects. Ewoyaa is anticipated to churn out an annual average of 3.6 million tonnes of spodumene concentrate or 350,000 tonnes, over its 12-year mine life. This propels it to a position among the world’s 10th-biggest projects according to Atlantic Lithium.

Captaining this strategic ship, Edward Nana Yaw Koranteng, the CEO of MIIF, declared, β€œOur strategy is to invest across the entire mining value chain of every mineral, with lithium not being an exception. [We are] prepared to invest in line with the Government of Ghana’s energy transition plan, including becoming the EV hub for Africa” This statement showcases the visionary stance with which Ghana is approaching this venture.

Atlantic Lithium, buoyed by a 15-year permit granted in October, is now eyeing a listing of its shares on both the London Stock Exchange (LSE) and the Australian Securities Exchange (ASX). The company is gearing up for an effective admission to the AIM, LSE’s market for small and medium size growth companies on Jan. 30.

Additionally, the funds from MIIF will be channeled toward the development of Atlantic Lithium’s broader Cape Coast lithium portfolio in Ghana. This bold move sets the stage for substantial and strategic growth in the mining sector.

This strategic investment is expected to serve Atlantic Lithium in enhancing its cash balance as it scales back its share of the total $185 million development expenditure. It’s a move that offers financial stability in the pursuit of a groundbreaking project.

Half of the lithium produced at Ewoyaa will undergo shipment to a refinery of US-based Piedmont Lithium (NASDAQ, ASX: PLL), which happens to be the Australian firm’s second-largest shareholder, amplifying the potential of the project even further. With agreements to provide financial aid for building the mine, the stage is set for a potential game-changer in the lithium market.

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