Piedmont Lithium, a key global supplier of lithium resources for the U.S. electric vehicle supply chain, has agreed to sell a portion of Atlantic Lithium shares to Assore International Holdings.
Piedmont is set to sell 24.3 million shares of Atlantic for GBP0.25 per share, resulting in approximately US$7.8 million in proceeds. The sale will give Assore 28.4% of Atlantic, while Piedmont will retain 32.7 million shares, representing 5.2% ownership. The sale will not affect Piedmont’s joint venture, earn-in, or offtake position with Atlantic or the Ewoyaa project.
“We finished 2023 in a strong position with approximately US$72 million in cash and US$47.4 million in marketable securities as of market close on January 17. We have always viewed our Atlantic shares as a potential source of capital and are pleased to further bolster our cash balance through this agreement,” said Piedmont Lithium President and CEO Keith Phillips.
“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.”
