Marula Mining and Atlantic Lithium are the final two of five of the best FTSE AIM lithium plays ready to rocket higher on near-term catalysts.
I have covered the following five companies in great detail over the years, and all five are ready for that next catalyst to send the share price to new heights. The first three of the five lithium shares were published last week.
Having enjoyed great success on AQUIS, Marula Mining is seeking to diversify its investor base with an AIM listing.
4. Marula Mining (AQSE: MARU)
Marula is a small-cap mining exploration company focused on battery metals and green-critical commodities in Africa. The company’s diversified portfolio includes four critical minerals in three different countries with strong histories of Chinese investment.
These assets include the Blesberg Lithium and Tantalum Mine in South Africa, the Nkombwa Hill Niobium, Tantalum, Rare Earths, and Phosphate Project in Zambia, and the highly promising Kinusi Copper Project and Bagamoyo Graphite Project in Tanzania.
Marula’s flagship asset remains the 100% owned Blesberg Lithium and Tantalum Mine in South Africa, and the company has spent $1.7 million on increasing its stake from 5% last year. The company also recently announced that it has identified further high-grade lithium deposits at the Blesberg project, with feasibility study work to establish a long-term, hard rock conventional open-pit lithium mining operation to be underway shortly.
In January 2023, Marula announced that the first 1,000 tonnes of lithium ore would be delivered after processing operations began in late November 2022. The company has also entered into a strategic investment and co-development partnership with Q Global Commodities Group, one of South Africa’s leading commodity, logistics, and investment funds, who has subscribed for up to £3.75 million through the issue of up to 100,000,000 new ordinary shares.
Moreover, Marula announced it had entered into a binding heads of agreement with Tanzanian mining company, Takela Mining Tanzania Limited, to secure a 75% interest in ten granted graphite licenses that make up the Nyorinyori Graphite Project for a total consideration of up to £400,000 through staged equity payments. The licenses extend over a combined area of circa 86 hectares and are valid through February 2030.
The company’s CEO, Jason Brewer, is an experienced and hands-on CEO who has been instrumental in the progress made by Marula. The company is scheduled to list on the FTSE AIM in 2023, which should act as a catalyst for further interest and liquidity in the stock.
5. Atlantic Lithium (LON: ALL)
The prized possession of Atlantic Lithium is the Ewoyaa Project located in Ghana, which is a vast mine of lithium pegmatite that is likely to be the first lithium-producing mine in West Africa. Piedmont, a strategic investor and a major player in the lithium industry, has provided full funding of $102 million for the project’s production.
The Mineral Resource Estimate for Ewoyaa currently stands at 35.3 million tonnes with 1.25% Li2O. Atlantic Lithium anticipates generating revenue exceeding $4.84 billion throughout the mine’s lifespan, with a post-tax NPV of $1.33 billion.
Atlantic Lithium plans to construct a 2Mtpa DMS plant with the capability to produce 255,000tpa of lithium spodumene concentrate. The company expects to release its definitive feasibility study during the current quarter.
The only downside is the impact of Blue Orca’s short attack in early March. Despite refuted allegations, it continues to have a dampening effect on the company’s stock — but this is a company backed by a billion-dollar titan of the industry.
This article has been prepared for information purposes only by Charles Archer. It does not constitute advice, and no party accepts any liability for either accuracy or for investing decisions made using the information provided.
Further, it is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.
