Piedmont Lithium (NASDAQ:PLL) Inc (ASX:PLL, NASDAQ:PLL, XETRA:) strategic partner Atlantic Lithium Ltd has completed a pivotal drill program at its flagship Ewoyaa spodumene project in Ghana.
The infill and exploration campaign confirmed high-grade mineralisation across the property, boosting confidence in a future resource conversion and a possible mine life extension.
Down the line, Ewoyaa’s development could bring Piedmont one step closer to its ultimate goal: to become one of the largest lithium hydroxide developers in North America.
Partnership details
Piedmont is working towards a 50% interest in Atlantic’s Ghana-based spodumene projects, which are poised to deliver feedstock for Piedmont’s own lithium operations.
The company is focused on advancing its Carolina and Tennessee lithium assets, and partnerships with companies like Quebec-based Sayona Mining and Atlantic Lithium are designed to diversify and secure its spodumene feedstock.
In addition to a 9.4% equity interest, PLL’s deal with Atlantic includes an offtake agreement that covers half of its annual production at market prices on a life-of-mine basis.
DFS on track for next year
Piedmont president and CEO Keith Phillips said the drill results at Ewoyaa continued to be very impressive.
“High lithium grades have been established over broad widths and near the surface,” he explained.
“We are working closely with our partners at Atlantic Lithium to publish a definitive feasibility study (DFS) for the Ewoyaa project in the first half of 2023.”
Phillips said the final drill results were expected to lead to an extended mine life and even stronger economics.
“When fully operational, the Ewoyaa project will be a primary supplier of spodumene concentrate for lithium hydroxide conversion in Tennessee, and it is promising to see both projects progressing so favourably,” he concluded.