24 April 2024

Quarterly Activities and Cash Flow Report
for the quarter ended 31 March 2024

Atlantic Lithium looks ahead to major near-term value-drivers as it advances 
the Ewoyaa Lithium Project towards shovel-readiness

The Board of Atlantic Lithium Limited (AIM: ALL, ASX: A11, OTCQX: ALLIF, "Atlantic Lithium" or the "Company"), the African-focused lithium exploration and development company targeting to deliver Ghana's first lithium mine, is pleased to announce its Quarterly Activities and Cash Flow Report for the period ended 31 March 2024.

Highlights from the Reporting Period:

Project Development:

-       Overwhelmingly strong local community support demonstrated at the Environmental Protection Agency ("EPA") Scoping Public Hearing in respect of the Company's Ewoyaa Lithium Project ("Ewoyaa" or "the Project") in Ghana.

-       Completion and submission of Ewoyaa Feldspar Study and Downstream Conversion Study to Ghana's Minerals Commission, as agreed under the terms of the grant of the Mining Lease for the Project.

-       Engagement with industry-leading engineering firms with proven experience in Ghana ahead of tender process for the award of the Engineering, Procurement, and Construction Management ("EPCM") contract.

-       Further key strategic appointments in support of mine development.

Exploration:

-       Assay results received for a total of 9,734m of drilling completed in 2023 over the new Dog-Leg target, Okwesi, Anokyi and Ewoyaa South-2 deposits, which sit outside of the current JORC (2012) compliant 35.3Mt @ 1.25% Li₂O Mineral Resource Estimate ("MRE")¹ for the Project.  

·      Results reported during the period represent the final results for the 2023 drilling season, with a total of 25,898m drilled throughout the year.

·      Multiple high-grade and broad drill intersections reported in results, including at Dog-Leg, where drilling intersected a shallow-dipping, near surface mineralised pegmatite body with true thicknesses of up to 35m.

·      Highlight intersections include 69m at 1.25% Li₂O from 45m and 83m at 1% Li₂O from 36m at Dog-Leg.

-       Completion of reverse circulation ("RC") and diamond core ("DD") resource growth drilling at the Dog-Leg target, with assays pending.

-       Results of drilling completed in 2023 and results pending for 2024 to be incorporated into a MRE upgrade, targeted during H2 2024.

-       Completion of 3,177m of plant site sterilisation drilling, with no mineralisation intersected, providing confidence in the proposed plant site location.

Post-period end:

-       Final approval received to commence field work at the newly-granted Senya Beraku prospecting licence.

-       Promotion of Exploration Manager Iwan Williams to General Manager, Exploration and Country Manager Abdul Razak to Exploration Manager, Ghana following the decision of Head of Business Development & Chief Geologist Len Kolff to step down from his roles at the Company.

·      Changes to the exploration team focused on enabling the advancement of the Company's exploration asset pipeline and the evaluation of new value-accretive opportunities to ensure the long-term growth of the Company.

Corporate:

-       Completion of the Minerals Income Investment Fund of Ghana's ("MIIF") Subscription for 19,245,574 Atlantic Lithium shares for a value of US$5m, representing Stage 1 of MIIF's agreed total US$32.9 million Strategic Investment to expedite the development of the Project towards production.

-       Strong interest for spodumene concentrate to be produced at Ewoyaa continues to be demonstrated from a range of industry players around the world through the Company's ongoing competitive offtake partnering process to secure funding for a portion of the remaining 50% available feedstock from Ewoyaa.

·      Formal bids from remaining interested parties expected to be received in the coming weeks ahead of final negotiations.

-       Purchase of 24.3m Atlantic Lithium shares at a premium by major shareholder Assore International Holdings ("Assore") from strategic funding partner Piedmont Lithium Inc. (NASDAQ: PLL; ASX: PLL, "Piedmont").

-       Further purchase of the Company's shares from members of the Company's senior leadership team, equating to a total value of A$5,192,393 (£2,794,015) since March 2023.

Commenting, Neil Herbert, Executive Chairman of Atlantic Lithium, said:

"With our sights firmly set on breaking ground at the Ewoyaa Lithium Project later this year, Atlantic Lithium remains fully focused on activities that de-risk the Project and move Ewoyaa closer to shovel-readiness.

"Key to achieving this milestone is the success of the ongoing permitting process, which is advancing as anticipated. We are proud to note the overwhelming support of our local communities, who, as demonstrated during the recent EPA Scoping Public Hearing, are eager to see Ewoyaa deliver the generational benefits expected to be brought about from lithium production in their municipality.

"Following the completion of its US$5m investment in the Company, we are delighted to welcome the Minerals Income Investment Fund of Ghana to the Atlantic Lithium share register as a highly valued local stakeholder and key funding partner. MIIF's subscription represents the first stage of its planned US$32.9m total investment, expected to expedite the development of the Project. We continue to work closely with MIIF to complete the remainder of its planned Project-level investment in due course.

"Significant work in respect of the agreed terms of the grant of the Mining Lease for the Project has also been completed during the period. Both the Feldspar Study and Downstream Study have been finalised and submitted to the Minerals Commission, and we are working with the Ghana Stock Exchange and associated parties to enable our listing on the GSE as soon as possible.

"Concurrent to these, we continue to enhance the value of the Project; both through drilling completed in 2023 and planned for the remainder of 2024. Drilling completed in 2023 has delivered encouraging results, including new targets for follow-on work, to be undertaken in H2 2024. We look forward to incorporating the 2023 results and results to be received from drilling planned for H2 2024 into a MRE update later this year.

"I would like to congratulate Iwan Williams and Abdul Razak on their promotions, to General Manager, Exploration and Exploration Manager, Ghana, respectively, following Len's decision to step down from his roles at the Company. Iwan and Razak have led the Company's exploration activities alongside Len since before the delivery of the Maiden MRE at Ewoyaa in 2020, and are, therefore, well-credentialled to lead the Company's exploration efforts, focused primarily on advancing our current portfolio of assets in West Africa, as well as assessing new opportunities in Ghana and elsewhere.

"On behalf of the Board, I would also like to thank Len for his significant contributions to the leadership of the Company throughout his nine years with Atlantic Lithium. His expertise has been fundamental to getting us to where we are today, notably his role in the discovery of the Project and for stepping up to assume the role of Interim Chief Executive Officer following the untimely passing of the Company's founder, Vincent Mascolo. I wish him every success in his future endeavours.

"Looking forward, we have a number of other major catalysts in the months ahead of us. These include the conclusion of the competitive offtake partnering process for a portion of Ewoyaa's remaining offtake available, which will serve as a major funding milestone for the Company, the ratification of the Mining Lease by parliament and, in line with the ongoing permitting process, the grant of the final permits; namely the EPA Permit and Mine Operating Permit, which are required by the Company to enable the commencement of construction at Ewoyaa.

"We look forward to updating the market on our progress in due course."

This announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 ("MAR"), and is disclosed in accordance with the Company's obligations under Article 17 of MAR.

Figures and Tables referred to in this release can be viewed in the PDF version available via this link:

http://www.rns-pdf.londonstockexchange.com/rns/7914L_1-2024-4-24.pdf

Ewoyaa Lithium Project, Ghana, West Africa      

During the period, the Company continued to advance its flagship project, the Ewoyaa Lithium Project, through the permitting phase towards production. The Project is on track to become Ghana's first operating lithium mine, and one of the largest hard rock spodumene concentrate mines globally².

The Project has secured project development funding via an earn-in agreement with Piedmont. Ewoyaa, located in Ghana, West Africa, approximately 100km southwest of the capital of Accra, comprises eight main deposits, including Ewoyaa, Okwesi, Anokyi, Grasscutter, Abonko, Kaampakrom, Sill and Bypass. The Project is well located, being adjacent to operational infrastructure including within 1km of the Takoradi - Accra N1 highway, 110km from the Takoradi deep-sea port and adjacent to grid power, within the pro-mining jurisdiction of Ghana (refer Figure 1).

Figure 1:         Location of the Ewoyaa Lithium Project

Interest in Tenements
At the end of the quarter ending 31 March 2024, the Company had an interest in the following tenements:

March Quarter Activities

Project Development

EPA Public Hearing

In accordance with the Project's permitting process and following the Company's submission of the Scoping Report to the Ghana Environmental Protection Agency ("EPA"), in February 2024, the EPA held the first public hearing (scoping) in respect of the Ewoyaa Lithium Project.

The event, which was held in Ewoyaa and forms a key part of the required Environmental Impact Statement approval process, welcomed over 1,000 representatives, including Chiefs, elders and community members of the Project's catchment area, plus government officials and other key stakeholders.

Figure 2:         General Manager, Operations, Ahmed-Salim Adam presenting at the EPA Scoping Public Hearing

During the hearing, members of the Company's project leadership team provided further detail to the planned activities at Ewoyaa, as well as outlining the considerable socio-economic benefits that the Project is expected to bring to the Central Region, while pledging to maintain close collaboration with all local stakeholders to ensure that their best interests are acted upon. EPA Deputy Executive Director, Mr Ransford Sekyi, explained the permitting processes and invited attendees to present any queries or concerns they may have, which were addressed by the Company in the public forum. The overwhelmingly positive engagement demonstrated at the hearing indicated the strong support for the Project within the local community.

Earlier in the quarter, in an engagement led by Deputy Minister George Duker with local traditional leaders and a delegation from the Ministry of Lands and Natural Resources and the Minerals Commission, the Central Regional House of Chiefs also provided its endorsement for the advancement of the Project.

Following the completion of impact studies during the period, the Company remains on schedule to submit the Environmental Impact Statement before the end of Q2 2024, following which the EPA is expected to organise a second and final public hearing.

The Company is also currently working to finalise the Mine Operating Plan, which is a requirement for the grant of the Mine Operating Permit, in advance of parliamentary ratification of the Mining Lease and the grant of the EPA Permit.

Project Studies

In satisfaction with the terms of the grant of the Ewoyaa Mining Lease, the Company has now completed and submitted to the Minerals Commission both i) the Feasibility Study ("Feldspar Study") to assess the viability of producing and processing feldspar feedstock as by-product of spodumene concentrate production at the Project, and ii) the Scoping study ("Downstream Conversion Study") to evaluate the economic benefits and viability of downstream lithium conversion in Ghana.

The Company confirms that the results of the Feldspar Study support its current intentions to produce feldspar at Ewoyaa, which the Company plans to supply to the local Ghanaian ceramics market. The Company believes Ewoyaa represents a major source of domestic feldspar in Ghana. Through the supply of feldspar produced at Ewoyaa to the local market, Atlantic Lithium aims to support the growth of Ghanaian businesses associated with the industry, and the local economy as a whole.

Following the submission of the Downstream Conversion Study to the Minerals Commission, the Company continues to closely collaborate with the key parties in Ghana, including the Minerals Commission, with regards to supporting Ghana's objectives of developing lithium resources of sufficient scale and longevity to facilitate downstream processing.

In addition, as also agreed under the terms of the Mining Lease, the Company continues to advance the necessary proceedings with the intention to list the Company's shares to trading on the Ghana Stock Exchange as soon as practicable.

Project Engineering

As per the terms of its engagement, multi-disciplinary engineering, project delivery and operations management group DRA Projects ("DRA") is currently in the process of finalising its value-engineering reports on the Front-End Engineering Design ("FEED") package undertaken for the Ewoyaa Definitive Feasibility Study ("DFS") and is preparing an Engineering, Procurement, Construction, and Management ("EPCM") contract, and the associated individual packages, which will serve as the foundation for the execution of the Project.

Australian-based engineering firm Primero Group ("Primero") was previously providing Front-End Engineering Design ("FEED") services to the Company in respect of the proposed processing plant at Ewoyaa, following the award of the FEED contract in December 2022. Primero was selected for the FEED on the basis of the firm's experience in delivering Dense Media Separation ("DMS") processing plants with comparable flow sheets to Ewoyaa's and the close proximity of the company's office with the Atlantic Lithium team in Perth, Australia.

Ahead of the tender process for the award of the EPCM contract for the construction of the Project, the Company has decided to now engage with engineering houses with proven EPCM experience in Ghana specifically. The Company intends to commence the tender process following the receipt of the reports from DRA, which is expected to enable the award of the EPCM contract post ratification of the Ewoyaa Mining Lease.

With stand-out industry experience of DMS processing plant construction in Ghana, West Africa and internationally, spanning several decades, DRA is expected to be among the companies participating in the EPCM tender process.

Project Funding

Under the Project's current funding arrangements, and considering a total development expenditure of US$185m for the Project, as indicated in the DFS, Piedmont is required to contribute the first US$70m of development expenditure as sole funding, and 50% of all development expenditure thereafter.

A portion of Piedmont's expenditure obligations across certain categories of development expenditure relating to the Project remains outstanding (US$2.1m for the period from October to March 2024; refer Company's previous Quarterly Activities and Cash Flow Report, announced on 31 January 2024). Piedmont has contributed 50% of the development expenditure across these categories for the same period. The Company remains actively engaged in discussions with Piedmont concerning these amounts and an established process exists for resolution.

Exploration and studies activities are currently jointly funded by the Company and Piedmont, with neither party having any outstanding expenditure obligations.

During the period of January to March 2024, Piedmont contributed a total of US$7.0m towards the funding of the Project.

Strategic Hires

The Company continues to recruit actively for positions, both in Ghana and in Australia, across all elements of the business, deepening the expertise within the team and intended to support the Company's objectives. For its activities in Ghana, across all functions, Atlantic Lithium is focused on prioritising local recruitment, which it considers as a key means to ensure maximum benefit generated by the Project is delivered to the Central Region and to Ghana more broadly.

Exploration

Results from Drilling Completed in 2023

During the period, the Company received assay results for a total of 9,734m of extensional resource reverse circulation ("RC") drilling completed at the new Dog-Leg target, Okwesi, Anokyi and Ewoyaa-South 2 deposits, which sit outside of the current 35.3Mt @ 1.25% Li₂O MRE¹. These represent the final results from drilling undertaken during 2023, with a total of 25,898m drilled.

Broad and high-grade intersections were reported, with new mineralisation defined at the Dog-Leg target and mineralisation extended at depth, outside of the current MRE, at the Okwesi, Anokyi and Ewoyaa-South 2 deposits, respectively (refer Table 1).

Table 1:  Drill intersection highlights at greater than 10 Li x m, reported at a 0.4% Li₂O cut-off and maximum of 4m of internal dilution

Note: Metal content is based on intercept rather than estimated true width. For estimated true widths, refer to announcements of 5 February 2024 and 19 March 2024.

The results at the Dog-Leg target, in particular, are note-worthy as they define a new, shallow-dipping, near surface mineralised pegmatite body outside of the current MRE¹ with true thicknesses up to 35m, providing potential to add significant near surface resource tonnes below the current pit shells, with likely low stripping ratios (refer Figure 3).

Figure 3:         Near-surface mineralised pegmatite body interpreted in drilling just below the current pit floor, as per the mine plan developed for the DFS for the Project, and as an extension outside of the current MRE¹ at the new Dog-Leg target

Figure 4:         Location of the new Dog-Leg target and planned 2024 drilling within the 13km strike Mine Corridor

In addition, the Company continues to advance its in-house geochemical analysis and review of the 20,000m auger drilling and soils programme completed in 2023 over the extensions to the known pegmatite swarm, exploration targets within the Saltpond licence and the Cape Coast licence.

Ongoing 2024 Drilling Programme

With current activities focused on supporting the mine build, the Company intends to recommence resource extension and exploration drilling in H2 2024 through a total 7,372m drilling programme, comprising 5,982m of resource extension drilling and 1,390m of exploration drilling.

During the period, to follow up on the encouraging results from drilling completed in 2023, the Company completed 804m of RC drilling and 70m of diamond core drilling at Dog-Leg, with assays pending, expected in Q2 2024.

The Company also completed plant site sterilisation drilling for a total of 3,177m in 21 holes, with no mineralisation intersected, providing confidence in the proposed plant site location.

Included in the drilling programme for the remainder of 2024, the Company intends to RC drill test the new Otsir target, which was defined in auger drilling completed in 2023 (refer Figure 4).

The Company intends to incorporate the results of drilling completed in 2023 and results pending for 2024 into a MRE upgrade for the Project, targeted during H2 2024.

Concurrently, the Company is continuing its regional exploration programmes to advance the exploration project pipeline, with mapping and rock chip sampling now underway over the Cape Coast licence and detailed surface mapping of access roads and drill pads underway over the 13km 'mine corridor' (refer Figure 4).

Senya Beraku Prospecting Licence

Following the grant of the Senya Beraku prospecting licence (refer Figure 5) to the Company's subsidiary Green Metals Resources Limited in Q4 2023, the Company was granted, post-period, final approval required to enable the commencement of field work over the licence.

The Company is currently undertaking a community engagement programme to inform the community of the Company's planned activities, after which field programmes, including soil sampling, mapping and rock chip sampling, are expected to commence.

The award of the Senya Beraku licence provides the Company with exclusive access to explore 82.11km² of new, prospective, under-explored tenure.

Figure 5:         Atlantic Lithium granted and under-application tenure in Ghana

Exploration Team Changes

After nine years with the Company, Head of Business Development and Chief Geologist Len Kolff has taken the decision to step down from his roles and will leave Atlantic Lithium to pursue other business interests.

The Board and Management team would like to thank Len for his extensive input throughout his time working with Atlantic Lithium, which have played a significant role in advancing the Company to where it is today. Notably, this includes leading the exploration team to make the initial discovery of the Project in 2018; subsequently driving the Company's exploration and evaluation programmes across Ghana to de-risk and add value to the Project; and establishing the Company's portfolio of exploration assets and further value addition opportunities, in Ghana and elsewhere.

Len also assumed the role of Interim Chief Executive Officer in 2022, stepping up at a crucial time in the Company's history following the untimely passing of its founder. His leadership during this challenging period was fundamental in ensuring the continued success of the Company. The Board and Management team wish him every success in his future endeavours.

In line with Len's departure, Iwan Williams, who has spent over five years of his 25+ year career as Exploration Manager with Atlantic Lithium, during which time he had overseen the delivery of the Project's Maiden MRE in January 2020 and subsequent MRE upgrades at Ewoyaa, will assume the role of General Manager, Exploration. In this role, Iwan will be responsible for advancing the Company's exploration portfolio in West Africa and the evaluation and generation of new value-accretive opportunities to support the long-term growth of the Company. His focus will be primarily on Ghana, while also assessing hard rock lithium opportunities outside of Ghana.

Country Manager Abdul Razak, who has also been responsible, alongside Len and Iwan, for leading the Company's in-country exploration team in the discovery and development of the Ewoyaa Lithium Project over the past eight years, will assume the role of Exploration Manager, Ghana. Abdul Razak has considerable exploration, resource evaluation and project management experience in Ghana, having worked with a number of the gold majors operating in the country over the course of his 20+ year career.

Atlantic Lithium is proud to have a fully Ghanaian in-country team, which demonstrates the Company's commitment to maintaining the highest possible levels of local employment.

Corporate

MIIF Strategic Investment

Stage 1 - Completion of US$5m Subscription

During the period, the Minerals Income Investment Fund of Ghana ("MIIF") subscribed for 19,245,574 Atlantic Lithium shares at a price of US$0.2598 (A$0.39 / £0.20) per share ("Subscription"), for a total consideration of US$5m, intended to be used towards development funding for the Project.

The completion of the Subscription represents Stage 1 of MIIF's agreed US$32.9m total investment ("Strategic Investment") in the Company and its Ghanaian Subsidiaries to expedite the development of the Project and the broader Cape Coast Lithium Portfolio in Ghana ("Ghana Portfolio") towards production.

As agreed under the terms of the Subscription, 9,622,787 options were granted to MIIF with an exercise price of US$0.3637 and an expiry date of 23 July 2025.

MIIF is also entitled to nominate one person to the Company's Board of Directors.

Stage 2 - US$27.9m Project-level Investment

Under the terms of Stage 2 of its Strategic Investment, and subject to the Company reaching a binding agreement with MIIF, MIIF has agreed to invest a further US$27.9m in the Company's Ghanaian subsidiaries to acquire a 6% contributing interest in the Ghana Portfolio, inclusive of the Project.

The US$27.9m Project-level investment and the contributing interest is expected to take the form of funding of development, exploration and studies expenditure to support the advancement of the Project.

The Company is currently working closely with MIIF to finalise the Project-level investment.

Competitive Offtake Partnering Process

The Company has continued to advance the competitive offtake partnering process, which is being led by global investment bank Macquarie Capital, to secure funding for a portion of the remaining 50% available feedstock from Ewoyaa.

The objective of the process is to attract funding offers to sufficiently cover the Company's allocation of development expenditure for the Project, to expedite and de-risk the development of the Project, realise attractive terms for any offtake contracted and secure a well credentialled partner that will support the Company's and Ghana's objectives of supplying lithium into the global electric vehicle market.

Following the completion of Stage 1 of the process in January 2024, which comprised early preparation and initial engagement with over 80 interested parties, the Company is advancing a more detailed Stage 2 due diligence phase with its preferred parties.

Through the process, the Company has indicated its preferred terms of up to 500,000t of spodumene concentrate to be contracted over a 3-5-year period, using a favourable market-based pricing mechanism, for a consideration of up to US$100m in the form of a pre-payment arrangement, which would be expected by the Company to sufficiently cover its allocation of development expenditure for the Project.

Terms of the non-binding indicative offers proposed by the parties that were taken forward into Stage 2 all meet the Company's expressed criteria.

Formal bids from the remaining interested parties are expected to be received in the coming weeks for consideration, ahead of final negotiations, which forms Stage 3, the final phase of the process.

The Company remains on track to announce the outcome of the process and its preferred offtake partner in the coming months.

The process has demonstrated the resoundingly strong demand for Ewoyaa's lithium products globally, with interest received from all types of industry players, including OEMs, traders, chemical converters and battery gigafactories.

Investors should note that, until a formal agreement is made and announced to the market, there can be no guarantee that an agreement of any sort will be signed as a result of the ongoing process.

Assore Share Purchase

During the period, the Company's largest shareholder, Assore Interntional Holdings ("Assore"), increased its stake in Atlantic Lithium through the purchase of 24.3m Atlantic Lithium shares from the Company's strategic funding partner, Piedmont, at a premium to the share price at the time. Assore's and Piedmont's holdings now sit at 27.6% and 5%, respectively, following the transaction.

The Company believes that Assore's purchase of Atlantic Lithium shares at a premium reflects their inherent belief in the Company's substantial value potential, which is yet to be realised.

Director Purchases

Post-period, Executive Chairman Neil Herbert purchased in the market a total of 133,000 ordinary shares in the Company of no par value each, equating to a value of £24,771 (A$47,590).

Following the share purchase, Directors and persons discharging managerial responsibilities ("PDMR"; or Key Management Personnel, "KMP") of the Company have purchased a total of 10,152,227 shares equating to a value of A$5,192,393 (£2,794,015) since March 2023.

Conferences Attended

The Company attended the following conferences and events during the period:

-       Mining Indaba, Cape Town (5-8 February)

-       Red Cloud's Pre-PDAC Mining Showcase, Toronto (29 February - 1 March)

-       PDAC, Toronto (3-6 March)

Exploration-focused Webinar

On 23 April 2024, the Company held an investor webinar focused on its exploration activities, entitled, "Exploration: A Deep Dive into Ewoyaa", consisting of i) an overview of the Company's exploration methodology and how it made the initial discovery of and has since developed the Ewoyaa Lithium Project in Ghana ii) a summary of exploration activities undertaken across the Cape Coast Lithium Portfolio to-date; and iii) an outline of near-term opportunities at the Project that present potential value drivers for the Company.

A recording of the webinar will shortly be made available on the Company's website.

Sustainability

International Women's Day

Acknowledging the immense contributions that women make every day to communities, workplaces and economies, Atlantic Lithium was proud to celebrate International Women's Day through its attendance at events in Australia and Ghana.

Atlantic Lithium is committed to being an equal opportunity employer and is proactive in its efforts to drive inclusion, empowerment and women's advancement in the mining sector.

Members of the Atlantic Lithium team, with guest of honour Mrs. Alexandra Amoako-Mensah, attended the International Women's Day event hosted by the Australian High Commission in Accra. During the event, Communication and Corporate Affairs Manager Florence Bossman-Ammah spoke on a panel highlighting the Atlantic Lithium's efforts towards enabling greater inclusion of women in the industry.

Meanwhile, members of the team in Perth, Australia, were proud to attend an event hosted by the Australasian Institute of Mining and Metallurgy ("AusIMM"), aimed at fostering collaboration, celebrating women's achievements, and driving meaningful conversations around gender equality and empowerment.

Figure 6:         Mrs. Amoako-Mensah joins Australian High Commissioner to Ghana, Ms. Berenice Owen-Jones (left image); Members of the Atlantic Lithium team in Perth, celebrating International Women's Day at the AusIMM event (right image)

Eid-ul Fitr

Post-period end, through an initiative led by Community Relations & Social Performance Manager Dr Millicent Aning-Agyei, with support from the Company's Marketing and Communications team, Atlantic Lithium made donations of food items to five local, under-privileged Muslim communities ahead of Eid-ul Fitr celebrations.

The Company prides itself on working in the best interests of the communities in which it operates and recognises the significant potential positive impact that it can have locally.

Share Capital Changes - Ordinary Shares, Options and Performance Rights

On 24 January 2024, 19,245,574 fully paid ordinary shares of USD0.2598 (A$0.39) were issued as a result of a subscription for shares by the Minerals Income Investment Fund of Ghana.

On 24 January 2024, 9,622,787 unlisted options were granted to Minerals Income Investment Fund of Ghana with an exercise price of USD0.3637 and an expiry date of 25 July 2025.

Between 1 January and the date of this report, a total of 16,950,000 options, that had been granted under the Company's Employee Share Option Plan, lapsed unexercised.

A summary of movement and balances of equity securities between 1 January 2024 and date of this report is as follows:

Appendix 5B

Mining exploration entity or oil and gas exploration entity
quarterly cash flow report

Compliance statement

1          This statement has been prepared in accordance with accounting standards and policies which comply with Listing Rule 19.11A.

2          This statement gives a true and fair view of the matters disclosed.

Date:                      24 April 2024

Authorised by:     Authorised by the Board of Atlantic Lithium Limited

Notes

1.               This quarterly cash flow report and the accompanying activity report provide a basis for informing the market about the entity's activities for the past quarter, how they have been financed and the effect this has had on its cash position. An entity that wishes to disclose additional information over and above the minimum required under the Listing Rules is encouraged to do so.

2.               If this quarterly cash flow report has been prepared in accordance with Australian Accounting Standards, the definitions in, and provisions of, AASB 6: Exploration for and Evaluation of Mineral Resources and AASB 107: Statement of Cash Flows apply to this report. If this quarterly cash flow report has been prepared in accordance with other accounting standards agreed by ASX pursuant to Listing Rule 19.11A, the corresponding equivalent standards apply to this report.

3.               Dividends received may be classified either as cash flows from operating activities or cash flows from investing activities, depending on the accounting policy of the entity.

4.               If this report has been authorised for release to the market by your board of directors, you can insert here: "By the board". If it has been authorised for release to the market by a committee of your board of directors, you can insert here: "By the [name of board committee - eg Audit and Risk Committee]". If it has been authorised for release to the market by a disclosure committee, you can insert here: "By the Disclosure Committee".

5.               If this report has been authorised for release to the market by your board of directors and you wish to hold yourself out as complying with recommendation 4.2 of the ASX Corporate Governance Council's Corporate Governance Principles and Recommendations, the board should have received a declaration from its CEO and CFO that, in their opinion, the financial records of the entity have been properly maintained, that this report complies with the appropriate accounting standards and gives a true and fair view of the cash flows of the entity, and that their opinion has been formed on the basis of a sound system of risk management and internal control which is operating effectively.

End Note

¹ Ore Reserves, Mineral Resources and Production Targets

The information in this half-year report that relates to Ore Reserves, Mineral Resources and Production Targets complies with the 2012 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (JORC Code). The information in this half-year report relating to Ore Reserves of 25.6Mt @ 1.22% Li₂O and Production Targets is extracted from the Ewoyaa Lithium Project Definitive Feasibility Study ("DFS"), announced by the Company on 29 June 2023, and information in this announcement relating to the Mineral Resource Estimate ("MRE") of 35.3Mt @ 1.25% Li₂O for Ewoyaa is extracted from the Company's announcement dated 1 February 2023, both of which are available at www.atlanticlithium.com.au. The MRE includes a total of 3.5Mt @ 1.37% Li₂O in the Measured category, 24.5Mt @ 1.25% Li₂O in the Indicated category and 7.4Mt @ 1.16% Li₂O in the Inferred category. The Company confirms that all material assumptions and technical parameters underpinning the MRE and DFS continue to apply. Material assumptions for the Project have been revised on grant of the Mining Lease for the Project, announced by the Company on 20 October 2023. The Company is not aware of any new information or data that materially affects the information included in this half-year report or the announcements dated 1 February 2023, 29 June 2023 and 20 October 2023.

² Ewoyaa to become one of the largest spodumene concentrate producers globally - Based on a comparison of targeted spodumene concentrate production capacity (ktpa, 100% basis) of select hard rock spodumene projects globally (refer Company presentation dated 8 September 2023).

Competent Persons

Information in this report relating to the exploration results is based on data reviewed by Mr Lennard Kolff (MEcon. Geol., BSc. Hons ARSM), Chief Geologist of the Company. Mr Kolff is a Member of the Australian Institute of Geoscientists who has in excess of 20 years' experience in mineral exploration and is a Qualified Person under the AIM Rules. Mr Kolff consents to the inclusion of the information in the form and context in which it appears.

Information in this report relating to Mineral Resources was compiled by Shaun Searle, a Member of the Australian Institute of Geoscientists.  Mr Searle has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity being undertaken to qualify as a Competent Person as defined in the 2012 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves' and is a Qualified Person under the AIM Rules. Mr Searle is a director of Ashmore. Ashmore and the Competent Person are independent of the Company and other than being paid fees for services in compiling this report, neither has any financial interest (direct or contingent) in the Company. Mr Searle consents to the inclusion in the report of the matters based upon the information in the form and context in which it appears.

The reported Ore Reserves have been compiled by Mr Harry Warries.  Mr Warries is a Fellow of the Australasian Institute of Mining and Metallurgy and an employee of Mining Focus Consultants Pty Ltd.  He has sufficient experience, relevant to the style of mineralisation and type of deposit under consideration and to the activity he is undertaking, to qualify as a Competent Person as defined in the 'Australasian Code for Reporting of Mineral Resources and Ore Reserves' of December 2012 ("JORC Code") as prepared by the Joint Ore Reserves Committee of the Australasian Institute of Mining and Metallurgy, the Australian Institute of Geoscientists and the Minerals Council of Australia and is a Qualified Person under the AIM Rules.  Mr Warries gives Atlantic Lithium Limited consent to use this reserve estimate in reports.

For any further information, please contact:

Atlantic Lithium Limited

Neil Herbert (Executive Chairman)

Amanda Harsas (Finance Director and Company Secretary)

Notes to Editors:

About Atlantic Lithium

www.atlanticlithium.com.au

Atlantic Lithium is an AIM and ASX-listed lithium company advancing its flagship project, the Ewoyaa Lithium Project, a significant lithium spodumene pegmatite discovery in Ghana, through to production to become the country's first lithium-producing mine.

The Definitive Feasibility Study for the Project indicates the production of 3.6Mt of spodumene concentrate over a 12-year mine life, making it one of the largest spodumene concentrate mines in the world.

The Project, which was awarded a Mining Lease in October 2023, is being developed under an earn-in agreement with Piedmont Lithium Inc.

Atlantic Lithium holds a portfolio of lithium projects within 509km² and 774km² of granted and under-application tenure across Ghana and Côte d'Ivoire respectively, which, in addition to the Project, comprises significantly under-explored, highly prospective licences.