Piedmont Lithium (NASDAQ:PLL) Inc (ASX:PLL, NASDAQ:PLL, XETRA:) partner Atlantic Lithium Ltd has completed a positive prefeasibility study (PFS) for the Ewoyaa Project in the Cape Coast region of Ghana.
The PFS demonstrates a production target of about 255,000 tonnes per annum of 6% lithium spodumene concentrate over a 12.5-year mine life from ore reserves of 18.9 million tonnes at 1.24% lithium oxide.
As part of the PFS, Piedmont has observed an increase in estimated capital costs for the project, however, Atlantic expects operating expenditures at the planned production plant to decrease.
Looking ahead, Atlantic Lithium’s Ewoyaa Project will be a primary source of spodumene concentrate for Piedmont’s Tennessee lithium operations.
“To play a critical role”
Piedmont executive vice president and chief operating officer Patrick Brindle said he was pleased with the results of the PFS as Piedmont continued to advance plans across its global portfolio of assets.
Brindle added: “We expect the project in Ghana to play a critical role in our ability to ramp up production of lithium hydroxide in the United States.
This proposed operation is underpinned by high-grade mineral resources, critical infrastructure, access to a deepwater port and available labour,” explained Brindle
“The study also highlights Atlantic Lithium’s plans related to community engagement and environmental stewardship.
“The combination of robust economics and commitment to best practices strengthens our Ghana project’s position as an industry-leading asset, and we couldn’t be more excited for our partners at Atlantic Lithium.”
Advances to the next stage
With the completion of PFS, the Ewoyaa project will now advance to the next stage of studies and permitting.
Exploration and infill drilling will continue as Atlantic works to submit a mining licence application and scoping level environmental and scoping level environmental and social impact assessment report to the Ghanaian government.
Notably, Atlantic is working towards a targeted first production of spodumene concentrate in the September quarter of 2024.
When the Ghana project is operational, Piedmont has planned to import spodumene concentrate from the project to supply to its newly announced Tennessee Lithium Project for conversion to lithium hydroxide.