PIEDMONT COMPLETES BANKABLE FEASIBILITY STUDY OF THE CAROLINA LITHIUM PROJECT WITH POSITIVE RESULTS

Dec 14, 2021

PIEDMONT COMPLETES BANKABLE FEASIBILITY STUDY OF THE CAROLINA LITHIUM PROJECT WITH POSITIVE RESULTS

BANKABLE FEASIBILITY STUDY HIGHLIGHTS

  • NPV (after tax) of US$2.0 billion and post-tax IRR of 27%
  • Assumes a fixed price of $18,000/t for battery quality lithium hydroxide versus current spot price of >$30,000/t
  • BFS estimates annual steady-state EBITDA of $459 million over the first 10 years of operations
  • Steady-state LiOH cash costs projected to be $3,657/t for the first 10 years among the lowest in the world
  • Estimate accuracy improved between June and December 2021 from ±35% to ±15%
  • Superior sustainability profile relative to current lithium hydroxide producers in China and South America with respect to water, land use and carbon intensity
  • Continue to work with local, state, and federal authorities on permitting and rezoning applications

“We are exceedingly pleased with the results of the BFS for the Carolina Lithium Project, which we believe confirm the Project’s industry-leading sustainability profile as well as exceptional economics while incorporating the substantial capital and operating cost inflation experienced during 2021.

We will soon commence detailed engineering for the Project with a view to a final investment decision in 2022. We are actively engaged in project financing discussions, including possible debt finance via the U.S. Department of Energy’s Advanced Technology Vehicle Manufacturing loan program, and potential strategic equity investments via the partnering process being coordinated by our financial advisors.

An important priority for 2022 will be the evaluation of expansion opportunities incorporating the spodumene concentrate assets we control in Quebec and in Ghana. Our ambition is to build America’s largest lithium hydroxide business, and the spodumene resource base we’ve assembled during 2021 should underpin substantial growth.”

Keith D. Phillips, President and Chief Executive Officer

To view the complete Bankable Feasibility Study please visit https://piedmontlithium.com/piedmont-completes-bankable-feasiblity-study-of-the-carolina-lithium-project-with-positive-results.

For further information, contact:

Keith D. Phillips | President & CEO                            
T: +1 973 809 0505
E: [email protected]

Brian Risinger
VP – Investor Relations and Corporate Communications
T: +1 704 910 9688
E: [email protected]

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