Ratification Process - Ewoyaa Mining Lease
Atlantic Lithium Limited has submitted a revised Mining Lease for its Ewoyaa Lithium Project to the Parliament of Ghana for ratification, which includes updated fiscal terms aligning royalty rates and the Growth and Sustainability Levy with current Ghanaian legislation. The proposed royalty rates for lithium projects will now follow a sliding scale based on spodumene price, ranging from 5.0% up to 12.0%. While other fiscal terms remain unchanged from the October 2023 lease, the company acknowledges that the proposed terms of the Legislative Instrument may change and ratification is not guaranteed, with the Select Committee expected to review the lease in the New Year.
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Atlantic Lithium Limited (AIM: ALL, ASX: A11, GSE: ALLGH, "Atlantic Lithium" or the "Company"), the Africa-focused lithium exploration and development company targeting the delivery of Ghana's first lithium mine, provides the following update regarding the status of the Mining Lease in respect of its flagship Ewoyaa Lithium Project ("Ewoyaa" or the "Project") in Ghana.
The Company is pleased to confirm that a revised Mining Lease has been submitted to the Parliament of Ghana and referred to the Select Committee, per the necessary process for ratification.
The Mining Lease includes certain fiscal terms which were incorporated following a period of consultation undertaken by the Minister of Lands and Natural Resources with relevant stakeholders in Ghana in relation to Ghana's current mining code and the application of royalties, which was supported by the Company. The revised terms comprise the alignment of the Project's royalty rate and Growth and Sustainability Levy to current legislated rates in Ghana.
Accordingly, the Company notes the submission by the Minister of Lands and Natural Resources to Parliament of a new Legislative Instrument, Minerals and Mining (Royalty) Regulations, 2025, which sets out the following proposed sliding scale in relation to royalty rates for lithium projects in Ghana according to various spodumene price ranges:
| Spodumene Price, US$/tonne | Royalty Applicable |
|---|---|
| Up to US$1,500/tonne | 5.0% |
| Between US$1,501 - US$2,500 | 7.0% |
| Between US$2,501 - US$3,000 | 10.0% |
| Above US$3,000 | 12.0% |
The Legislative Instrument will be considered in line with due parliamentary process.
All other fiscal terms outlined in the Mining Lease granted in October 2023 remain unchanged (refer announcement of 20 October 2023).
Following the adjournment of Parliament for the festive period, the Company understands that the Select Committee will undertake its review of the revised Mining Lease in the New Year, before providing its recommendation to Parliament for or against ratification.
The Company remains confident that ratification of the Mining Lease will be forthcoming in accordance with due parliamentary process. Shareholders should note, however, that there can be no certainty that the proposed terms of the Legislative Instrument will not change or that Parliament will indeed ratify the Mining Lease.
Further updates will be provided to shareholders as and when appropriate.
For any further information, please contact:
Atlantic Lithium Limited
Keith Muller (Chief Executive Officer)
Amanda Harsas (Finance Director and Company Secretary)
| SP Angel Corporate Finance LLP Nominated Adviser Jeff Keating Charlie Bouverat Tel: +44 (0)20 3470 0470 | Yellow Jersey PR Limited Charles Goodwin Bessie Elliot atlantic@yellowjerseypr.com Tel: +44 (0)20 3004 9512 | Canaccord Genuity Limited Financial Adviser: Raj Khatri (UK) / Duncan St John, Christian Calabrese (Australia) Corporate Broking: James Asensio Tel: +44 (0) 20 7523 4500 |
Cleaned text: letterheads, contacts and legal notices removed. View the original announcement ↗ · Company filings. Not investment advice.