Piedmont Lithium Provides Corporate Update

Piedmont Lithium (“Piedmont” or the “Company”) (Nasdaq: PLL; ASX: PLL), a leading global supplier of lithium resources critical to the U.S. electric vehicle (“EV”) supply chain, today provided an update on key business and portfolio activities.

Quebec – North American Lithium

Ramp up continues on target at North American Lithium (“NAL”), Piedmont’s joint-venture mining operation in Quebec. NAL produced 34,237 dry metric tons (“dmt”) of spodumene concentrate in Q4’23, at an average grade of 5.5% Li₂O, representing a 9% increase in production from the prior quarter. Operations achieved records in concentrate production (13,954 dmt), mill availability (80%), and global lithium recovery (66%) in December 2023.

Cash operating costs at NAL are expected to improve upon completion of important capital projects in mid-2024. In particular, completion of the crushed ore storage dome is expected to enable the operation to achieve full production rates and result in meaningfully lower unit production costs. Furthermore, mining costs are currently elevated with activity focused in the area of pre-existing underground mine works dating from the 1950s. Unit mining costs are expected to improve once operations have moved past the old mining works.

Inclement weather and port congestion resulted in the delay of one of Piedmont’s planned Q4’23 shipments, with 14,248 dmt of spodumene concentrate shipped during Q4’23 and 13,104 dmt being shipped in mid-January 2024. Piedmont expects to begin deliveries under its long-term contracts in 2024 and reduce reliance on volatile spot market sales.

Piedmont is working with its NAL joint-venture partner, Sayona Mining (ASX: SYA), to conduct a strategic review of NAL operations. The objective of the review is to continue improving NAL’s productivity and operating costs, with a view toward positioning NAL to continue to operate throughout the market cycle.

“We are very pleased with the progress at NAL and anticipate continued operating improvements through 2024," said Keith Phillips, President and Chief Executive Officer of Piedmont Lithium. “NAL is North America’s only operating spodumene mine, and as such, is quite strategic to the long-term customers we serve. As we complete our operational review with our partners at Sayona, our goal is to optimize production rates and operating costs and maintain leverage for the recovery in lithium prices that we anticipate based upon market dynamics and historical pricing trends.”