The dramatic price collapse has seen lithium spodumene values tumble from $3,000 per tonne to current levels around $700 per tonne - barely covering the production costs outlined in the project's feasibility study, according to Lands and Natural Resources Minister Emmanuel Amarnh Kofi Buah during Wednesday's parliamentary session.
This market turmoil has triggered a wave of production cuts, workforce reductions and project delays across the global lithium sector, with Ghana's domestic Ewoyaa operation now caught in the downturn.
Facing these challenges, project operator Barari DV Ghana Limited has formally requested amendments to its 15-year mining lease covering 42.63 square kilometers in Central Region's Mankessim area, originally granted in October 2023.
While the lease agreement was submitted to Parliament in 2024 and reviewed by the Select Committee on Lands and Natural Resources, its ratification was postponed due to parliamentary recess during the 2024 general elections. With market conditions continuing to deteriorate, the government is now preparing to present revised terms to cabinet.
Minister Buah confirmed his ministry has already briefed the cabinet and will soon submit a detailed memorandum outlining proposed contractual adjustments. These revisions aim to establish a sustainable path forward for the project while protecting Ghana's strategic interests in the rapidly evolving battery metals sector.
