Ewoyaa Mineral Resource increases to 35.3 million ton

Image courtesy: Atlantic Lithium

Atlantic Lithium Limited, the funded African-focussed lithium exploration and development company on track to become Ghana’s first lithium producing mine, announces a significant Mineral Resource Estimate upgrade to 35.3Mt at 1.25% Li2O for the Ewoyaa lithium deposit within the Cape Coast Lithium Portfolio in Ghana, West Africa.

The Resource is reported in accordance with the JORC Code (2012).

Highlights include:

  • MRE now increased to 35.3Mt at 1.25% Li2O including 28Mt in the Measured and Indicated categories at the Ewoyaa deposit; reported in accordance with the JORC Code (2012).
  • 79% of the overall MRE now in higher confidence Measured and Indicated categories, with 3.5Mt at 1.37% Li2O in the Measured category and 24.5Mt at 1.25% Li2O in the Indicated category.
  • Measured Resources reported for the first time and additional Indicated Resources converted from the Inferred category, highlighting strong geological and mineralisation continuity, favourable for ongoing studies. 
  • Definitive Feasibility Study (“DFS”) well progressed and targeted for release Q2 2023.
  • The DFS will evaluate an extended mine life and increased throughput to enhance Project economics.
  • Significant exploration upside within the immediate Resource area with some pegmatites open along strike and at depth and only 15km2 drilled to date within the broader 560km2 Cape Coast lithium portfolio.
  • MRE upgrade is based on a total 137,153m of drilling (inclusive 47,000m programme completed during 2022), and includes 120,845m of reverse circulation (“RC”) and 16,308m of diamond core (“DD”) drilling.
  • Project has exceptional ESG credentials; local highly skilled workforce, low power requirements and well located with adjacent high-power transmission lines, within 1km of national highway and within 110km to the operating deep-sea port of Takoradi.
  • Resource upgrade expected to significantly improve project economics. Previously announced Pre-Feasibility Study (refer RNS of 22 September 2022) delivers exceptional financial outcomes for a 2Mtpa operation, producing an average c. 255,000tpa of 6% Li2O spodumene concentrate (“SC6”) over a 12.5-year operation based on a 30.1Mt at 1.26% Li2O MRE:
  • LOM revenues exceeding US$4.84bn, Post-tax NPV8 of US$1.33bn, IRR of 224% over 12.5 years
  • US$125m capital cost with industry-leading payback period of <5 months
  • C1 cash operating costs of US$278 per tonne of 6% lithium spodumene concentrate Free on Board (“FOB”) Ghana Port, after by-product credits
  • Average Life of Mine (“LOM”) EBITDA of US$248m per annum
  • 18.9Mt at 1.24% Li2O Maiden Ore Reserve
  • Average annualised US$1,359/dry metric tonne SC6 pricing used with US$1,200/dry metric tonne long term pricing

Commenting on the Company’s latest progress, Lennard Kolff, Interim Chief Executive Officer of Atlantic Lithium, said:

“The Resource upgrade represents a significant de-risking milestone for the Company, with 79% of the Resource now in the higher confidence Measured and Indicated categories with potential for further exploration growth. This, in addition to the larger overall tonnage, will provide the opportunity to evaluate extended mine life and increased throughput to enhance project economics.

“Our goal was to convert the Inferred to Indicated category, define the first 1 to 2 years of planned production to Measured category and increase the overall Resource scale. We have comfortably achieved all our goals, demonstrating the robust geological fundamentals of the Project.

“Metallurgical test-work to date has consistently delivered high-purity, low contaminants >6% Li2O coarse spodumene concentrate utilising simple gravity-only processing. Combining this with the excellent proximity to operational infrastructure and the availability of skilled services in pro-mining Ghana, we are on course to deliver one of the world’s most efficient hard rock lithium projects, in terms of capital intensity and lower operating costs.




“The Company has transitioned from explorer to developer, with Ewoyaa funded to production through our agreement with Piedmont, key senior personnel recently recruited, and our Mining License application submitted. Today’s Resource upgrade highlights the exceptional potential of the project and the value that it brings to Ghana and the Company.”