Small cap mining hopeful Atlantic Lithium (A11.ASX) has announced a critical step forward for its Ewoyaa Lithium Project in Ghana. The company is now awaiting parliamentary ratification of its revised mining lease, a development that will significantly impact the project's economics and Atlantic Lithium's valuation.
Specifically, the revised Ewoyaa Mining Lease has been submitted to Parliament and referred to the Select Committee for ratification. A key feature of the revised lease is a new price-based royalty regime, aligned with current Ghanaian legislation under the Minerals and Mining (Royalty) Regulations, 2025.
New Royalty Framework
Here’s a breakdown of the proposed sliding-scale royalties for lithium:
- Up to USD 1,500/tonne: 5%
- USD 1,501–2,500/tonne: 7%
- USD 2,501–3,000/tonne: 10%
- Above USD 3,000/tonne: 12%
Atlantic Lithium advises that all other fiscal terms from the October 2023 Mining Lease remain unchanged.
Parliamentary Review and Uncertainty
Parliament has adjourned for the festive period, and the Select Committee review is expected in the New Year. However, Atlantic Lithium has cautioned that ratification is not guaranteed, and the terms could still be subject to change.
As we reported in September 2023, Ghana’s Minerals Income Investment Fund (MIFF) committed approximately $51.4 million to support the development of the Ewoyaa lithium project. The project is located just 100km southwest of Ghana’s capital city Accra. Securing parliamentary ratification is the next major hurdle for Atlantic Lithium.
Funding and Exploration
In November 2025, Atlantic Lithium reported receiving deferred proceeds from an Initial Placement and approved a Second Placement to raise £2m, plus issuance of warrants and security shares to Long State. The company also highlighted the exploration upside in Côte d’Ivoire, with Phase 2 and 3 soil results at Rubino and Agboville showing strong lithium anomalies and new pegmatite occurrences.
The Bottom Line
The future of Atlantic Lithium hinges on the parliamentary ratification of the revised Ewoyaa Mining Lease. While the proposed royalty framework provides some clarity, the ultimate impact on project economics and the company's valuation remains uncertain until the terms are finalised and approved. Investors should closely monitor developments in the New Year as the Select Committee reviews the lease. Should the ratification occur with minimal changes to the proposed royalty schedule, project's progression remains on track. However, any revisions or rejection of terms could increase the royalty burden and delay the project's development.
