US-based Piedmont Lithium has revealed its decision to sell a portion of shares it holds in Aim- and ASX-listed Atlantic Lithium to Assore International, the largest shareholder in Atlantic.
The sale of 24.3 million shares, priced at £0.25 each, will inject approximately $7.8 million into Piedmont Lithium’s funds.
The move, representing 3.8% of Atlantic’s outstanding shares, will lower Piedmont’s shareholding in Atlantic, owner of the Ewoyaa project in Ghana, to around 5.2%.
Assore now holds about 28.4% of Atlantic. The sale has no impact on Piedmont’s existing positions with Atlantic or the Ewoyaa project.
“We remain confident about the potential of Ewoyaa as a logistically advantaged, low-cost producer of spodumene concentrate, but are taking a disciplined approach to deploying capital in the current lithium price environment and positioning ourselves for the recovery we anticipate in the lithium market,” said Phillips.
Piedmont aims to be a leading lithium hydroxide producer in North America. It processes spodumene concentrate from assets it has an economic interest in, including the Carolina Lithium and Tennessee Lithium projects in the US. Piedmont also has partnerships with Sayona Mining in Quebec and with Atlantic Lithium in Ghana.