Atlantic Lithium Lists on Ghana Stock Exchange, Paving Way for Ewoyaa Project

Atlantic Lithium lists on the Ghana Stock Exchange with a valuation of GH¢649,669,053, marking a significant step towards indigenizing Ghana's mining sector. The company's Ewoyaa Lithium Project is expected to be Africa's third-largest hard-rock lithium project, with a projected annual production of 365,000 tonnes of spodumene concentrate.

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Nitish Verma
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Atlantic Lithium Lists on Ghana Stock Exchange, Paving Way for Ewoyaa Project

Atlantic Lithium Lists on Ghana Stock Exchange, Paving Way for Ewoyaa Project

Atlantic Lithium, the company behind the Ewoyaa Lithium Project in Ghana's Central Region, has made its debut on the Ghana Stock Exchange (GSE) with a valuation of GH¢649,669,053. The company's prospectus sets the indicative price for the GSE listing at GH¢4.40 per share.

Why this matters: This listing marks a significant step towards Ghana's goal of indigenizing its mining sector, which could have far-reaching implications for the country's economic development and its ability to benefit from its natural resources. As the demand for lithium continues to grow, Ghana's emergence as akey player in the industry could also have significant implications for the global energy transition.

The listing aligns with the Ghanaian government's strategic vision of indigenizing the mining sector and enhancing value addition. Minister for Lands and Natural Resources Samuel A. Jinapor emphasized that the GSE listing satisfies a pivotal requirement outlined in the pact between the state and Atlantic Lithium, ensuring Ghanaian proprietorship of the Ewoyaa project.

Minister Jinapor highlighted the importance of indigenizing the mining sector, stating, "This is to fulfill one of the very important commitments made by the brokers of the transaction reached between the government of Ghana and Atlantic Lithium and their subsidiary, Bavari DV." He stressed that this listing will allow Ghanaians to have a stake in the project and participate in the mining establishment.

Atlantic Lithium's Executive Chairman Neil Herbert stated that the company's decision to trade on the GSE reflects its commitment to contributing to Ghana's effort to combat climate change. "We believe that the company's listing on the GSE is a true reflection of Ghana's commitment to playing its part in the fight against climate change by sanctioning long-term lithium production," he said.

The Ewoyaa project is expected to be Africa's third-largest hard-rock lithium project, with a projected annual production of approximately 365,000 tonnes of spodumene concentrate. The project's low capital and operational expenses make it significant for the lithium industry amid growing demand for electric vehicles and battery production, particularly in China.

Recent exploration activities at Ewoyaa include drilling at the Dog-Leg target, aimed at expanding the mineral resource. Future plans involve further drilling to explore depth extensions of pegmatite formations, indicating optimism for significant resource growth. Ganfeng Lithium's plan to take full control of the Goulamina Project in Mali leaves Atlantic Lithium's Ewoyaa project as one of the few remaining independent lithium projects in Africa slated for production.

Key stakeholders have expressed excitement about the significant events unfolding in Ghana's mining sector. Martin Ayisi, CEO of the Minerals Commission, anticipates the best period for Ghana over the next three years, starting with Atlantic Lithium's listing. Abena Amoah, Managing Director of the GSE, acknowledged the contributions of the Minerals Commission, Ministry of Lands and Natural Resources, Chamber of Mines, and the Minerals Income Investment Fund (MIIF) in making this listing possible.

Atlantic Lithium's listing on the Ghana Stock Exchange marks a significant milestone in the country's mining history. With an initial market capitalization of GHS 2.85 billion and an investment of $5 million by Ghana's mineral sovereign wealth fund (MIIF) in January 2024, the company is well-positioned to develop Ghana's first lithium mine. As Neil Herbert, Executive Chairman of Atlantic Lithium, stated, "As the first lithium company to commence trading on the Ghana Stock Exchange, our listing represents a new chapter in the country's esteemed mining history."

Key Takeaways

  • Atlantic Lithium lists on Ghana Stock Exchange with GH¢649m valuation.
  • Listing marks a step towards Ghana's goal of indigenizing its mining sector.
  • Ewoyaa project to be Africa's 3rd-largest hard-rock lithium project.
  • Project's low costs make it significant for lithium industry amid growing demand.
  • Listing marks a new chapter in Ghana's mining history, says Atlantic Lithium.