Corporate Update
Brisbane, Feb 22, 2024 AEST (ABN Newswire) - North American lithium producer Sayona Mining Limited (
ASX:SYA) (DML:FRA) (SYAXF:OTCMKTS) has reaffirmed its strategic partnership with Piedmont Lithium (ASX:PLL) (NASDAQ:PLL) to develop the North American Lithium (NAL) operation in Quebec, Canada, following the announced share sale by Piedmont Lithium of its shareholding in Sayona Mining Limited.
Piedmont announced on 21 February 2024 it had agreed to sell 1,152.2 million Sayona shares for A$0.052 per share. The sale price represented a premium to the 20-day volume weighted average price, resulting in gross proceeds of approximately A$59.9 million for Piedmont.
Piedmont confirmed that the decision to divest "aligns with Piedmont's commitment to maintaining a prudent balance sheet while simultaneously minimising dilution of Piedmont's shareholders." Piedmont added it would "remain fully committed to our joint venture with Sayona, with a particular focus on the ongoing ramp up of North American Lithium."
Piedmont Lithium retains a 25% interest in Sayona Quebec, the entity that owns NAL, and has a long-term offtake agreement with NAL for lithium concentrate.
Sayona's Interim CEO, James Brown commented: "As a joint owner of the NAL operation and a significant customer, Piedmont Lithium remains an important strategic partner for Sayona. We look forward to continuing to collaborate with Piedmont as we optimise our operations at NAL and build a sustainable lithium supply chain to serve the rapidly growing EV and battery market in North America."
About Elevra Lithium Limited
Elevra Lithium Limited (ASX:ELV) (NASDAQ:ELVR) is North America's largest hard-rock lithium producer with a diversified portfolio of high-quality assets across Quebec Canada, the United States, Ghana and Western Australia.
Our flagship operation, the North American Lithium (NAL) mine in Quebec, Canada has successfully ramped up production of spodumene concentrate, supported by ongoing operational enhancements to increase recovery rates, throughput, and mill utilisation. Following a Mineral Resource upgrade, Elevra completed a Scoping Study for a brownfield expansion to increase NAL's annual spodumene concentrate production and reduce unit operating costs.
Complementing NAL, the Moblan Lithium Project in northern Quebec represents one of the largest undeveloped spodumene resources in North America, with a Mineral Resource of 121 Mt @ 1.19% Li2O.
Development activities are progressing with feasibility studies targeting a large-scale, long-life operation capable of supplying both domestic and international markets.
In Western Australia, Elevra holds an extensive portfolio of lithium and gold tenements, where exploration programs are advancing to unlock additional growth opportunities. Meanwhile, in the United States, our Carolina Lithium Project offers a strategic foothold in the downstream lithium chemicals market and our project in Ghana provides a further option for future growth.
Looking ahead, Elevra is focused on strategic downstream partnerships to enable further value-added lithium production, positioning the Company to deliver a secure, sustainable supply of critical minerals to global customers. Together, these assets establish Elevra as a growth-focused supplier supporting the global energy transition.
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