According to the latest news, Chinese battery materials company Huayou Cobalt has obtained Australian foreign investment approval to acquire Atlantic Lithium Limited, the company behind Ghana's first parliament-approved lithium mine, for US$210 million.
The core asset of the acquisition is the Ewoyaa Lithium Project. This is a hard-rock spodumene deposit located in Ghana's Central Region, approximately 110 km from Takoradi. Ghana's Parliament approved the project in March this year, granting it Ghana's first lithium mining lease. According to the Definitive Feasibility Study, the mine has a 12-year mine life and is planned to produce approximately 300,000 tonnes of spodumene concentrate per year.
In addition, Huayou Cobalt has separately agreed to pay approximately US$70 million to Elephra Lithium, the joint-venture partner in the Ewoyaa project, to acquire the latter's project equity interest and product offtake rights. Upon completion of both transactions, Huayou Cobalt will effectively control approximately 87% of the project, with the remaining 13% held by the Ghanaian government as a free-carried national equity interest.
Edited by Cassie Li, lixiangying@mysteel.com
