Ghana Submits Revised Ewoyaa Lithium Lease to Parliament for Approval
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Ghana has sent a revised mining lease for Atlantic Lithium’s Ewoyaa project to Parliament for ratification, a key step before construction can begin on what would be the country’s first lithium mine. The modification follows the company’s request for fiscal adjustments to sustain project viability after a sharp decline in global lithium prices, Atlantic Lithium said in a December 22 statement.
The new lease replaces the previous fixed 10% royalty with a progressive structure tied to lithium spodumene concentrate prices. Under the terms, royalties will stand at 5% when prices are at or below $1,500 per ton, 7% between $1,501 and $2,500, 10% between $2,501 and $3,000, and 12% above that level. With current market prices at $1,378 per ton on the Shanghai Metals Market, the applicable rate would be 5%. Other core provisions—such as the government’s 13% free carried interest and existing corporate tax arrangements—remain unchanged.
The revision responds to an estimated 80% drop in lithium prices since 2023, which Atlantic Lithium argued threatened the project’s commercial feasibility under the original terms. The government’s updated framework aims to reduce near-term pressure on the developer while preserving higher potential returns for the state if prices recover. The Ewoyaa project forms part of Ghana’s broader strategy to establish a domestic battery minerals industry as demand for electric-vehicle materials expands.
The fiscal overhaul comes amid contrasting dynamics in the global lithium market. While current prices reflect oversupply, the International Energy Agency forecasts a 40% supply deficit by 2035 due to accelerating demand from the energy transition. Such long-term trends could eventually support a price recovery, strengthening Ghana’s future royalty receipts under the new sliding-scale system.
Parliament is expected to review the revised lease through committee hearings in early 2026 ahead of a ratification vote. Approval would enable Atlantic Lithium to begin construction of a mine designed to produce about 3.6 million tons of spodumene concentrate over 12 years. The company must still secure roughly $185 million in project financing, partly supported by its U.S. partner Piedmont Lithium, which has committed to fund a portion of development in exchange for an equity stake.
