"We have done the maths and it doesn't make sense at all," Ahmed-Salim Adam, Atlantic Lithium's General Manager, told Reuters.

"We have written to the Minister of Lands and Natural Resources for urgent help on the fiscals. If not, the project cannot proceed," he added.

Prices of the critical battery metal have tumbled more than 80% from peaks seen in November 2022, as a supply glut coincided with slower-than-expected electric vehicle adoption rates globally.

Ghana, Africa's lead gold producer, granted the Australian miner a 15-year lease to establish the mine by late 2024, hoping to capitalise on the EV boom.

The Ewoyaa project, with an estimated resource of 35-40 million tonnes of lithium-bearing ore, is positioned to become one of the top 10 global spodumene concentrate producers, according to Atlantic Lithium, making it a significant new supply source outside the industry-dominant markets of Australia, Chile and China.

--Reuters--