African Critical Minerals: Sayona, Piedmont Lithium Complete $623 Million Merger, Focus on Ewoyaa Mine in Ghana

¬ Sayona and Piedmont complete a $623 million merger deal, forming Elevra Lithium.

¬ The merged company inherits a 22.5% stake in the Ewoyaa mine in Ghana from Piedmont.

Due to a sharp price drop, Atlantic Lithium seeks tax relief, and projects are stalled.

The $623 million merger between Australia's Sayona Mining Limited and U.S.-registered Piedmont Lithium has been completed, forming a joint venture with assets in Canada, Australia, and Ghana. The merged company is expected to be renamed Elevra Lithium by the end of September, aiming to strengthen its position in the global lithium market.

This transaction solidifies Piedmont Group's long-term investment in the Ewoyaa project operated by Atlantic Lithium in Ghana. The group first participated in the project in 2021, obtaining the right to acquire up to 50% of future production through financing. Currently, Piedmont holds a 22.5% equity stake in the Ewoyaa project and 4.7% ownership in Atlantic Lithium, while retaining an option to double its holding. It is expected that the Ewoyaa mine will produce 3.6 million tons of lithium spodumene concentrate over 12 years.

However, the development of the mine remains stagnant. Atlantic Lithium obtained a 15-year mining license in 2023 and is currently negotiating with the Ghanaian government for tax relief. The company stated that high royalties and corporate taxes make the project unsustainable in the context of global lithium oversupply and weak prices. The company is pushing to halve the current 10% royalty rate and eliminate import tariffs on equipment.

The company is pleased to release the quarterly report as of June 30, 2025, during which it made progress in revising the fiscal terms of the Ewoyaa lithium project's mining lease.

The newly established Elevra board, chaired by Dawne Hickton, with members including Christina Alvord, Jeff Armstrong, Jorge M. Beristain, and James Brown, will decide on the construction financing for Ewoyaa. Approval of the mining lease is still pending.

Sayona CEO Lucas Doh said the merger "created a stronger, globally influential lithium company with scale, resources, and partnerships, leading in the energy sector."

Source: ecofinagency

Original: www.toutiao.com/article/1842134694630404/

Disclaimer: This article represents the views of the author.