Atlantic Lithium Ltd (AIM:ALL, OTCQX:ALLIF, ASX:A11) told investors it expects the year ahead will present a clearer path for its flagship Ewoyaa lithium project in Ghana, following a period of delay amidst the election in the country.
It comes as the company and its partners await the ratification of a mining lease, which once received will unlock a number of key project milestones.
"Notwithstanding ratification of the Mining Lease, the year ahead presents itself as a hugely important period for the company,” Atlantic Lithium chair Neil Herbert said in a statement as the company held its AGM in Perth, Australia, earlier today.
“Key milestones include achieving FID, the completion of remaining operational activities required to achieve shovel-readiness, the award of key Project contracts and breaking ground itself.”
He added: "We remain confident that the Project's low-cost profile, driven largely by its proximity to existing infrastructure and the nature of the deposit, will enable it to withstand current lithium prices.
“We are seeing a number of our peers' higher cost projects delayed, slowed down or placed into care and maintenance.
“We believe, however, that Ewoyaa's favourable development and operating costs place the company advantageously as we close in on FID.
“We remain confident in the significant long-term demand for lithium as EV adoption continues at pace around the world and expect the current oversupply to be absorbed in the near-medium term. As we push forward towards shovel readiness, we, therefore, believe that Ewoyaa under its Mining Lease, including Feldspar and Downstream Conversion Studies and the listing of shares on the Ghana Stock Exchange.
Recent financial milestones include a US$5.00 million subscription from the Minerals Income Investment Fund (MIIF) and a A$10.00 million equity placement led by Assore.
The company is meanwhile refining its Definitive Feasibility Study and advancing towards a Final Investment Decision (FID).
"We firmly believe in the potential that Ewoyaa presents and that we are on the right path to deliver upon this potential. I look forward to reporting on our further progress in due course."