Africa-focused explorer Atlantic Lithium Limited has secured binding financing agreements worth up to £28 million (AUD 57.5 million) with Long State Investments Ltd, strengthening its financial position as it advances Ghana’s flagship Ewoyaa Lithium Project toward construction and production.
The financing package announced, combines a £8 million share placement agreement and a £20 million committed equity facility, providing both immediate capital and longer-term access to funding at a pivotal stage in the mine’s development.
Chief Executive Officer of Atlantic Lithium, Keith Muller, described the agreements as “timely,” especially against the backdrop of subdued global lithium prices and delays in parliamentary ratification of Ewoyaa’s mining lease.
“Through the Share Placement Agreement and Committed Equity Facility Agreement, we are pleased to secure both immediate and longer-term access to funding at such a key juncture in the Project’s development.
“These Agreements are timely to strengthen the Company’s financial footing through a means that minimises shareholder dilution.”
Keith Muller, Chief Executive Officer of Atlantic Lithium
The initial placement under the deal will see Atlantic Lithium raise £2 million through the issue of more than 24 million shares, with the flexibility to raise up to £8 million across additional tranches over the next 24 months.
Meanwhile, the equity facility provides the company with up to £20 million in capital, to be drawn at its discretion subject to shareholder approval, which is expected to be sought at an Extraordinary General Meeting (EGM) in October 2025.
Notably, Atlantic Lithium’s largest shareholder, Assore International Holdings Limited, has already confirmed its intention to support the resolutions, in the absence of a superior proposal.
Balancing Delays with Cost Control
Ewoyaa, located in Ghana’s Central Region, is widely seen as a project of strategic importance, with the potential to make Ghana a significant player in the global lithium supply chain.
However, the project has faced challenges in recent months, with the final ratification of its mining lease pending before Ghana’s parliament.
To navigate the delay and preserve liquidity during a period of volatile lithium pricing, the company implemented cost-saving measures that reduced quarterly cash outflows from AUD 8.2 million in Q1 FY25 to AUD 3.8 million in Q4, according to its July report.
Muller stressed that the financing agreements now provide a safety net, ensuring that the company can maintain momentum even in a challenging market environment.
“The terms of the Agreements provide the Company with maximum control in respect to drawing on the funding available, which significantly de-risks the successful delivery of the Project as Ghana’s first lithium mine.”
Keith Muller, Chief Executive Officer of Atlantic Lithium
For Long State Investments Ltd, the deal represents both a financial commitment and a strategic endorsement of Ewoyaa’s long-term potential.
Philip Ho, Managing Director of Long State, praised the quality of the asset and its potential to transform Ghana’s position in the global battery minerals market.
“We are very pleased to support Atlantic Lithium at such an important stage in its journey.
“The Company’s flagship Ewoyaa Lithium Project represents a high-quality, strategically significant asset with the potential to become Ghana’s first lithium-producing mine.”
Philip Ho, Managing Director of Long State
He added that the deal aligns with Long State’s investment strategy of backing growth-oriented companies with strong fundamentals and credible management.
“Combined with an experienced management team and a clear development strategy focused on creating shareholder value, we see Atlantic Lithium as a highly attractive investment opportunity.
“We look forward to working closely with Atlantic Lithium as a long-term partner.”
Philip Ho, Managing Director of Long State
Shaping Ghana’s Lithium Future
Ewoyaa is expected to become Ghana’s first commercial lithium mine, producing spodumene concentrate to supply the fast-growing global electric vehicle and battery storage markets.
Analysts say the project could make Ghana a significant hub in the global energy transition, diversifying the country’s mineral base beyond its traditional gold exports.
For Atlantic Lithium, the financing package marks a crucial step toward ensuring the mine’s development stays on track despite external headwinds.
By securing capital in a way that minimizes shareholder dilution and retains operational flexibility, the company is positioning itself for long-term resilience.
“Long State has a strong track record of investing in companies with an attractive growth trajectory and providing the financial backing for them to achieve their strategic objectives.
“These Agreements demonstrate Long State’s strong confidence in the Company’s strategy and ambitions.”
Keith Muller, Chief Executive Officer of Atlantic Lithium
With the Ewoyaa mining lease awaiting parliamentary ratification, the financing agreements represent more than just a capital injection—they are a signal of market confidence and an endorsement of Ghana’s potential as a lithium producer.
As Atlantic Lithium prepares to hold its EGM in October, industry observers will be watching closely for updates on parliamentary approval and the company’s roadmap to first production.
For now, the combination of financial discipline, strategic backing, and a clear development pathway has provided the company with a renewed sense of momentum.
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