Piedmont Lithium Breaks Production Records as Merger Vote Postponed

Operational Highlights and Financial Performance

Piedmont Lithium Inc. has delivered a robust second quarter in 2025, underscoring its position as a key North American lithium supplier. The company shipped approximately 20,200 dry metric tons of spodumene concentrate, translating to $11.9 million in revenue. This performance reflects a realized price of $587 per dry metric ton, a figure that, while lower than previous quarters, aligns with the current lithium market environment.

North American Lithium (NAL), Piedmont’s Quebec-based operation, set new quarterly records by producing 58,533 dmt of spodumene concentrate, achieving a mill utilization rate of 93% and lithium recovery of 73%. These operational efficiencies contributed to a 10% reduction in unit operating costs quarter-over-quarter, now standing at A$1,232 (US$791) per dmt sold.

Capital Position and Project Development

As of June 30, Piedmont held $56.1 million in cash and cash equivalents, reflecting a disciplined approach to capital allocation amid volatile lithium prices. The company continues to advance permitting efforts at its Carolina Lithium project in North Carolina, including critical air and stormwater permits, while adjusting near-term land acquisitions to conserve capital.

Meanwhile, progress at the Ewoyaa Lithium Project in Ghana remains contingent on the ratification of revised mining lease terms currently under negotiation by Ghana’s Cabinet. Regulatory approvals and market conditions will ultimately determine the project's development timeline.

Merger with Sayona Mining – A Strategic Move

Piedmont’s proposed merger with Sayona Mining, aimed at creating a leading North American lithium business, remains a strategic priority. Although Sayona shareholders overwhelmingly approved the deal with 97.34% of votes cast, Piedmont’s Special Meeting was adjourned due to insufficient shareholder quorum, with only 41.52% of shares represented. The meeting has been rescheduled for August 11, 2025, to provide additional time for shareholder participation.

CEO Keith Phillips emphasized the importance of the merger in enhancing long-term value and encouraged all shareholders to vote. The merger agreement includes updated terms such as a revised exchange ratio and a proposed reverse stock split by Sayona, reflecting ongoing efforts to optimize the combined entity’s capital structure.

Outlook and Market Context

Piedmont maintains its full-year shipment guidance of 113,000 to 125,000 dmt of spodumene concentrate, supported by production at NAL and offtake agreements with Sayona Quebec. The company is exploring shipment commingling opportunities to reduce transport costs and improve profitability.

Capital expenditures are expected to remain modest in the near term, primarily focused on permitting activities. Investments in affiliates, including Sayona Quebec and Atlantic Lithium, are forecasted to increase slightly but remain disciplined given the challenging lithium price environment.

Overall, Piedmont’s Q2 results reflect operational resilience and strategic focus, balancing growth ambitions with prudent financial management as it navigates a complex market landscape.