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Piedmont Appoints Primero Group as Preferred EPC and Operations Contractor

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  • Piedmont and Primero have entered into an MOU for the delivery of the proposed Piedmont spodumene concentrator on an Engineer, Procure, and Construct (“EPC”) basis
  • Primero to contract operate the spodumene concentrator for a period of up to six years following construction
  • Primero is a world leader in the design, construction, and operations of spodumene concentrator projects
  • MOU significantly mitigates the execution risk of Piedmont’s integrated lithium hydroxide business

NEW YORK –
Piedmont Lithium Limited (“Piedmont” or “Company”) is pleased to report that the Company has entered into a memorandum of understanding (“MOU”) with Primero Group (“Primero”) relating to the Company’s planned spodumene concentrator located in the historic Carolina Tin-Spodumene Belt in North Carolina, USA.

Piedmont and Primero have partnered since early 2018 and Primero has been the lead engineering consultant for Piedmont’s scoping studies, concentrator design, and metallurgical testwork management. Building on this strong relationship, Piedmont and Primero have entered into the MOU to work together on an exclusive basis to agree binding documentation relating to the definitive feasibility study (“DFS”), front-end engineering design, EPC delivery, commissioning, ramp-up and contract operations of the spodumene concentrator.

The EPC and operations contract models contemplated by the MOU provide incentives for Primero to achieve safety, schedule, budget, process performance, production, and recovery targets. The arrangements contemplated by the MOU create a delivery framework which significantly reduces technical, operational and commercial risks associated with the concentrator. The Company continues to evaluate other strategic partnerships that could enhance performance in the design, construction and operations of other aspects of Piedmont’s integrated lithium hydroxide business.

Primero is recognized as a world leader in the design, construction, optimization, and contract operations of spodumene projects globally. Primero’s client list includes the existing operations of Pilbara Minerals, Altura, Alliance Minerals and Galaxy and engineering services performed for Sigma Lithium, Savannah Resources, Core Lithium and many others. Primero’s EPC and contract operations services at Alliance Minerals’ Bald Hill mine notably achieved nameplate capacity within two months of plant commissioning.

Cam Henry, Managing Director of Primero commented: “Piedmont is a world-class project surrounded by infrastructure and ideally located near potential customers in the USA’s auto alley. We are excited to continue the relationship we have established with Piedmont Lithium over the past three years and we look forward to applying our specialist expertise in project implementation and operations to assist Piedmont in advancing the only spodumene project currently under development in the United States.”

Keith D. Phillips, President and CEO of Piedmont, commented: “We are very pleased to be working with Primero as we advance our integrated lithium hydroxide project. Primero is the world-leader in the design, construction and operation of spodumene concentrate plants, with extensive involvement in many of the producing operations in Western Australia and leadership roles in projects in Canada, Brazil and Portugal. This is a key milestone as we build out our project execution team, with an emphasis on working with proven processes and experienced professionals.”

To view the full ASX Announcement, click here.

Keith D. Phillips

President & CEO

T: +1 973 809 0505

E: kphillips@piedmontlithium.com

Timothy McKenna

Investor and Government Relations

T: +1 732 331 6457

E: tmckenna@piedmontlithium.com


Piedmont Lithium Limited Announces Closing of Public Offering and Full Exercise of Underwriters’ Over-Allotment Option

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NEW YORK – Piedmont Lithium Limited, (Nasdaq, ASX: PLL), today announced the closing of its previously announced underwritten public offering of 2,065,000 American Depositary Shares (“ADS”), which includes the full exercise of the underwriters’ option to purchase 265,000 additional ADSs, each ADS representing 100 of its ordinary shares, at a price per ADS to the public of US$6.30 (“Public Offering“). The aggregate gross proceeds of the Public Offering totaled approximately US$13.0 million.

Piedmont has also received commitments from existing non-U.S. institutional and sophisticated shareholders and directors for 120,000,000 of its ordinary shares, at an issue price of A$0.09 per share (which equates to the same issue price of the Public Offering), to raise gross proceeds of A$10.8 million (US$7.6 million) (“Private Placement“). Completion of the Private Placement is subject to shareholder approval. The total gross proceeds to the Company from the Public Offering and Private Placement are expected to exceed US$20.5 million before deducting underwriting discounts, commissions and other offering expenses.

ThinkEquity, a division of Fordham Financial Management, Inc., and Loop Capital Markets LLC acted as joint book-running managers for the Public Offering. Canaccord Genuity LLC and Roth Capital Partners are acting as financial advisors for the Public Offering.

Canaccord Genuity (Australia) Limited and Shaw and Partners Limited acted as joint-lead managers to the Private Placement.

Piedmont Lithium intends to use the proceeds from the Public Offering and Private Placement to continue development of the Company’s Piedmont Lithium Project, including a definitive feasibility study, test work, permitting and ongoing land consolidation, and for general corporate purposes.

The Public Offering was made pursuant to an effective shelf registration statement that has been filed with the U.S. Securities and Exchange Commission (the “SEC“). A final prospectus supplement and accompanying prospectus related to the offering of the ADSs have been filed with the SEC and are available on the SEC’s website at http://www.sec.gov and on the ASX website. Copies of the final prospectus supplement and the accompanying prospectus relating to the Public Offering may be obtained from ThinkEquity, a division of Fordham Financial Management, Inc., Prospectus Department, 17 State Street, 22nd Floor, New York, New York 10004, telephone: (877) 436-3673 or e-mail: prospectus@think-equity.com.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

About Piedmont Lithium Limited.

Piedmont holds a 100% interest in the Piedmont Lithium Project (“Project“) located within the Carolina Tin-Spodumene Belt (“TSB“) and along trend to the Hallman Beam and Kings Mountain mines, historically providing most of the western world’s lithium between the 1950s and the 1980s. The TSB has been described as one of the largest lithium provinces in the world and is located approximately 25 miles west of Charlotte, North Carolina. It is a premier location for development of an integrated lithium business based on its favorable geology, spodumene-only mineralogy, proven metallurgy and easy access to infrastructure, power, R&D centers for lithium and battery storage, major high-tech population centers and downstream lithium processing facilities.

Forward Looking Statements

This press release contains forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995 and other Federal securities laws. Words such as “expects,” “anticipates,” “intends,” “plans,” “believes,” “seeks,” “estimates” and similar expressions or variations of such words are intended to identify forward-looking statements. For example, Piedmont Lithium Limited is using forward-looking statements in this press release when it discusses the possible offering of additional American Depositary Shares and the intended use of proceeds. Because such statements deal with future events and are based on Piedmont Lithium Limited’s current expectations, they are subject to various risks and uncertainties. Actual results, performance or achievements of Piedmont Lithium Limited could differ materially from those described in or implied by the statements in this press release. The forward-looking statements contained or implied in this press release are subject to other risks and uncertainties, including market conditions and the satisfaction of all conditions to, and the closing of, the offering, as well as those discussed under the heading “Risk Factors” in Piedmont Lithium Limited’s annual report on Form 20-F filed with the SEC on November 1, 2019, and in any subsequent filings with the SEC. Except as otherwise required by law, Piedmont Lithium Limited undertakes no obligation to publicly release any revisions to these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. References and links to websites have been provided as a convenience, and the information contained on such websites is not incorporated by reference into this press release. Piedmont Lithium Limited is not responsible for the contents of third-party websites.

Keith D. Phillips

President & CEO

T: +1 973 809 0505

E: kphillips@piedmontlithium.com

Tim McKenna

Investor and Government Relations

T: +1 732 331 6457

E: tmckenna@piedmontlithium.com


Piedmont Announces Pricing of Public Offering

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NEW YORK – Piedmont Lithium Limited (“Piedmont” or “Company”) (Nasdaq:PLL; ASX:PLL) today announced the pricing of an underwritten public offering of 1,800,000 American Depositary Shares, each representing 100 of its ordinary shares (“Public Offering”), at a price per ADS to the public of $6.30, for aggregate gross proceeds of $11,340,000. Piedmont has granted the underwriters a 30-day option to purchase up to an additional 265,000 of the ADSs sold in the Public Offering to cover over-allotments at the issue price of the Public Offering. The Public Offering is expected to close on June 11, 2020, subject to customary closing conditions.

ThinkEquity, a division of Fordham Financial Management, Inc., and Loop Capital Markets LLC are acting as joint book-running managers for the offering.

Piedmont also intends to conduct a substantially concurrent Australian private placement of up to 120,000,000 ordinary shares to existing non-U.S. institutional and sophisticated investors (“Private Placement”), at a price equivalent to the issue price in the Public Offering. The Public Offering is not contingent upon the Private Placement. The Company expects the Private Placement will be fully committed upon the closing of the Public Offering, but the completion of the Private Placement will be subject to shareholder approval pursuant to applicable ASX listing rules.

Proceeds from the offerings will be used to continue development of the Company’s Piedmont Lithium Project, including a definitive feasibility study, testwork, permitting, and ongoing land consolidation, and for general corporate purposes.

The Public Offering is being made pursuant to an effective shelf registration statement that has been filed with the U.S. Securities and Exchange Commission (the “SEC”). A prospectus supplement related to the offering of the ADSs will be filed with the SEC and when available, may be obtained on the SEC’s website at http://www.sec.gov and on the ASX website. Copies of the prospectus supplement and the accompanying prospectus relating to the Public Offering may be obtained from ThinkEquity, a division of Fordham Financial Management, Inc., Prospectus Department, 17 State Street, 22nd Floor, New York, New York 10004, telephone: (877) 436-3673 or e-mail: prospectus@think-equity.com.

This press release is not an offer or sale of the securities in the United States or in any other jurisdiction where such offer or sale is prohibited, and such securities may not be offered or sold in the United States absent registration or an exemption from registration under the Securities Act of 1933, as amended.

About Piedmont

Piedmont holds a 100% interest in the Piedmont Lithium Project (“Project”) located within the Carolina Tin-Spodumene Belt (“TSB”) and along trend to the Hallman Beam and Kings Mountain mines, historically providing most of the western world’s lithium between the 1950s and the 1980s. The TSB has been described as one of the largest lithium provinces in the world and is located approximately 25 miles west of Charlotte, North Carolina. It is a premier location for development of an integrated lithium business based on its favorable geology, spodumene-only mineralogy, proven metallurgy and easy access to infrastructure, power, R&D centers for lithium and battery storage, major high-tech population centers and downstream lithium processing facilities.

Keith Phillips

President & CEO

T: +1 973 809 0505

E: kphillips@piedmontlithium.com

Tim McKenna

Investor and Government Relations

T: +1 732 331 6457

E: tmckenna@piedmontlithium.com

Piedmont Announces Proposed U.S. Public Offering of American Depositary Shares

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NEW YORK – Piedmont Lithium Limited (“Piedmont” or “Company”) (Nasdaq:PLL; ASX:PLL) todayannounced that it plans to conduct a U.S. public offering, subject to market and other conditions, of its American Depositary Shares (“ADSs”), each representing 100 of its ordinary shares (“Public Offering”). Piedmont intends to grant the underwriters a 30-day option to purchase up to an additional 15% of the ADSs sold in the Public Offering to cover over-allotments at the issue price of the Public Offering.

ThinkEquity, a division of Fordham Financial Management, Inc., and Loop Capital Markets LLC are acting as joint book-running managers for the offering.

Piedmont also intends to conduct a substantially concurrent Australian private placement to existing non-U.S. institutional and sophisticated investors (“Private Placement”), at a price equivalent to the issue price of the Public Offering. The Public Offering is not contingent upon the Private Placement. The Company expects the Private Placement will be fully committed upon the closing of the Public Offering, but the completion of the Private Placement will be subject to shareholder approval pursuant to applicable ASX listing rules.

Proceeds from the offerings will be used to continue development of the Company’s Piedmont Lithium Project, including a definitive feasibility study, testwork, permitting, and ongoing land consolidation, and for general corporate purposes.

The Public Offering is being made pursuant to an effective shelf registration statement that has been filed with the U.S. Securities and Exchange Commission (the “SEC”). A preliminary prospectus supplement related to the offering of the ADSs will be filed with the SEC and will be available on the SEC’s website at http://www.sec.gov and on the ASX website. Copies of the preliminary prospectus supplements and the accompanying prospectus relating to the Public Offering may be obtained from ThinkEquity, a division of Fordham Financial Management, Inc., Prospectus Department, 17 State Street, 22nd Floor, New York, New York 10004, telephone: (877) 436-3673 or e-mail: prospectus@think-equity.com.

This press release is not an offer or sale of the securities in the United States or in any other jurisdiction where such offer or sale is prohibited, and such securities may not be offered or sold in the United States absent registration or an exemption from registration under the Securities Act of 1933, as amended.

About Piedmont

Piedmont holds a 100% interest in the Piedmont Lithium Project (“Project”) located within the Carolina Tin-Spodumene Belt (“TSB”) and along trend to the Hallman Beam and Kings Mountain mines, historically providing most of the western world’s lithium between the 1950s and the 1980s. The TSB has been described as one of the largest lithium provinces in the world and is located approximately 25 miles west of Charlotte, North Carolina. It is a premier location for development of an integrated lithium business based on its favorable geology, spodumene-only mineralogy, proven metallurgy and easy access to infrastructure, power, R&D centers for lithium and battery storage, major high-tech population centers and downstream lithium processing facilities.

For further information, contact:

Keith Phillips

President & CEO

T: +1 973 809 0505

E: kphillips@piedmontlithium.com

Tim McKenna

Investor and Government Relations

T: +1 732 331 6457

E: tmckenna@piedmontlithium.com

Piedmont Lithium Appointment of Lithium Industry Veteran as Vice President – Sales & Marketing

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  • Mr. Austin Devaney to join Piedmont as Vice President – Sales & Marketing
  • Mr. Devaney spent most of the past decade in senior marketing roles with Albemarle Corporation, most recently as Vice President, Strategic Marketing and Customer Excellence

NEW YORK – Piedmont Lithium Limited (ASX:PLL; NASDAQ:PLL) (“Piedmont” or “Company”) is pleased to announce that it has appointed Mr. Austin Devaney as Vice President – Sales & Marketing. Mr. Devaney will play a broad strategic role with Piedmont and will drive relationships with the global automotive, battery and cathode companies that are the prospective customers for the battery-grade lithium hydroxide we plan to produce in the United States.

Mr. Devaney is a chemical engineer by training and has spent most of his career in senior commercial roles. From 2015 to 2019 he served in increasingly senior sales and marketing roles with Albemarle Corporation, the world’s #1 lithium producer, ultimately serving as Vice President Strategic Marketing and Customer Excellence. For Albemarle’s predecessor, Rockwood Lithium, Mr. Devaney served as Global Product Manager – Lithium Hydroxide, and National Sales Manager – Battery Products.

In his time at Albemarle and Rockwood, Mr. Devaney developed broad and deep relationships with many of the most important participants in the global electric vehicle supply chain. His technical background was particularly useful in navigating the product qualification processes that are required by global auto makers. This experience will be directly relevant as Piedmont completes its initial lithium hydroxide testwork programs in coming weeks and will have product samples to share with prospective customers for the first time.

Prior to his time in the lithium business, Mr. Devaney had senior marketing and operational roles with US chemical companies including Occidental Chemical Corporation, Kemira, and Fuchs Lubricants. After leaving Albemarle in 2019, he served as Director, Lithium & Battery Materials for IHS Markit. He earned his BS in Chemical Engineering from Clemson University and his MBA from Southern Methodist University.

Mr. Devaney will join Piedmont on July 1, 2020 and will be based in the Company’s Belmont, North Carolina headquarters.

Mr. Devaney commented: “I am excited to join the Piedmont team and help advance this project located in one of the key locations in the world both from a lithium and automotive perspective. The work that the team has done has Piedmont on a low risk path to convert spodumene to lithium hydroxide in a competitive location.”

Keith D. Phillips, President and Chief Executive Officer, commented: “We are very pleased to welcome Mr. Devaney to our senior management team. Austin is one of the world’s most experienced lithium marketing professionals, having played a senior role with industry-leader Albemarle for most of the past decade. His relationships with important players in the EV supply chain will be instrumental in positioning Piedmont to secure lithium sales agreements with customers of the highest caliber. 80% of the world’s lithium hydroxide is currently produced in China, and Piedmont aims to play a leadership role in helping the EV sector address this over-reliance.”

Keith Phillips

President & CEO

T: +1 973 809 0505

E: kphillips@piedmontlithium.com

Tim McKenna

Investor and Government Relations

T: +1 732 331 6457

E: tmckenna@piedmontlithium.com


Piedmont Lithium’s Chemical Plant PFS Demonstrates Exceptional Economics and Optionality of USA Location

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NEW YORK – Piedmont Lithium Limited (ASX:PLL; NASDAQ:PLL) (“Piedmont” or “Company”) is pleased to report the results of the Company’s pre-feasibility study (“PFS”) for its proposed lithium hydroxide chemical plant (“Chemical Plant”) in Kings Mountain, North Carolina, USA. The PFS assumes a stand-alone merchant Chemical Plant that would convert spodumene concentrate purchased on the global market to battery-grade lithium hydroxide (“Merchant Project”).

Concurrently, Piedmont has updated the scoping study (“Scoping Study”) for its integrated mine-to-hydroxide project (“Integrated Project”) to reflect the updated Chemical Plant PFS. Both studies confirm that Piedmont will be a strategic and low-cost producer of battery-grade lithium hydroxide. Piedmont benefits from access to the exceptional infrastructure, low operating costs and low corporate taxes enjoyed by American industrial companies.

Piedmont’s Chemical Plant would create an alternative to the numerous merchant spodumene converters currently operating in China and dominating the world lithium hydroxide market, thus providing US and European automotive companies a secure and independent American source of the lithium hydroxide required for their supply chains.

“The Chemical Plant PFS demonstrates the economic benefit of developing a lithium chemical business in North Carolina, USA, with its exceptional infrastructure, low operating costs and competitive tax regime.

80% of the world’s lithium hydroxide is produced in China, largely by non-integrated ‘merchant’ producers sourcing spodumene concentrate from Western Australia. As global automotive companies electrify their fleets, we expect them to increasingly seek ex-China sources of lithium supply, and North Carolina is ideally-positioned to benefit given its proximity to major auto markets in the US and Europe, and the deep lithium talent pool resident in the region.

Piedmont will now advance the Chemical Plant through the permitting and definitive feasibility processes, providing us the option to move aggressively on either a merchant or integrated basis toward first lithium production in 2023 as the transition to electric vehicles begins to seriously take hold”.

Keith D. Phillips, President and Chief Executive Officer

To view the full ASX Announcement, click here.

Keith D. Phillips

President & CEO

T: +1 973 809 0505

E: kphillips@piedmontlithium.com

Tim McKenna

Investor & Government Relations

T: +1 732 331 6457

E: tmckenna@piedmontlithium.com


Piedmont Completes Additional Testwork to Produce High Grade Spodumene and Byproduct Concentrates

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  • 120 kg of Dense Medium Separation (“DMS”) and flotation concentrates prepared for LiOH testwork
  • Byproduct quartz samples have received positive initial feedback from key potential customers
    • Quartz samples meet solar glass customer specifications – additional samples requested
    • Additional potential clients will receive byproduct quartz, feldspar and mica samples in Q2
  • Chemical plant Pre-Feasibility Study and updated integrated Scoping Study expected in May 2020
  • Lithium hydroxide bench scale testwork nearing conclusion with results expected in Q2 2020

NEW YORK – Piedmont Lithium Limited (ASX:PLL; NASDAQ:PLL) (“Piedmont” or “Company”) is pleased to announce that it has produced 120 kg of spodumene concentrate from core samples collected from the Company’s Piedmont Lithium Project (“Project”) located within the world-class Carolina Tin-Spodumene Belt (“TSB”) . These samples have now been used in the bench-scale lithium hydroxide testwork program nearing completion at SGS laboratories in Lakefield, Ontario. Concentrate qualities and recoveries were consistent with earlier testwork programs.

Table 1: Results of Combined DMS + Locked Cycle Flotation Testwork Results

Product

Li2O (%)

Fe2O3 (%)

Recovery (%)

Spodumene Concentrate

6.21

0.87

82.4

We are also pleased to announce production of additional larger-scale samples of quartz and feldspar concentrates as part of this testwork. Quartz samples prepared in SGS laboratories were delivered to potential solar glass customers and met customer quality expectations.

Confidential customer discussions are ongoing through the Company’s marketing partnership with Ion Carbon, a division of AMCI. Samples of quartz and feldspar concentrates will be delivered to other potential clients in the coming weeks. Mica samples will be produced in the coming weeks.

The updated spodumene concentrate and byproduct results will be used to support the Company’s study updates which will be announced later this month.

Table 2: Average of Results of Six Locked Cycle Byproduct Tests

 

Li2O

SiO2

Al2O3

K2O

Na2O

CaO

MgO

MnO

P2O5

Fe2O3

Quartz Concentrate

0.02

99.0

0.32

0.04

0.11

0.01

0.01

0.01

0.01

0.01

Feldspar Concentrate

0.12

68.0

19.35

2.45

9.30

0.17

0.04

0.01

0.15

0.05

Keith D. Phillips, President and Chief Executive Officer, commented: “Our lithium hydroxide testwork program continues at SGS, and is based on the high-quality, low impurity spodumene concentrate prepared from a 1.75 tonne representative ore sample from Piedmont’s Core property. Byproduct testwork is also continuing, and after positive initial customer feedback we have received from prospective quartz customers, we are beginning to evaluate the opportunity to expand our planned byproduct production, potentially further lowering our spodumene concentrate costs.”

To view the full ASX Announcement, please click here.

Keith D. Phillips

President & CEO

T: +1 973 809 0505

E: kphillips@piedmontlithium.com

Timothy McKenna

Investor and Government Relations

T: +1 732 331 6457

E: tmckenna@piedmontlithium.com


Piedmont Lithium – March 2020 Quarterly Report

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NEW YORK – Piedmont Lithium Limited (ASX:PLL; NASDAQ:PLL) (“Piedmont” or “Company”) is pleased to present its March 2020 quarterly report. Highlights during and subsequent to the quarter were:

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20200429005180/en/

Piedmont Lithium's Hydroxide Chemical Plant located in Kings Mountain, NC (Graphic: Business Wire)

Piedmont Lithium’s Hydroxide Chemical Plant located in Kings Mountain, NC (Graphic: Business Wire)

  • Hatch continues to progress its work on the chemical plant pre-feasibility study (“PFS”) for the Company’s Piedmont Lithium Project (“Project”) in the United States and remains on track for delivery in Q2 2020. The chemical plant PFS will provide refined estimates of our capital and operating costs and should reinforce our position as a low-cost US-based producer of lithium hydroxide.
  • Lithium hydroxide testwork on samples of spodumene concentrate produced from the Project’s ore is progressing SGS laboratories in Canada. Work has been delayed due to impacts related to COVID-19, however the delay is not expected to impact our overall development timeline. The final process flowsheet has been determined samples will soon be ready for delivery to prospective customers.
  • Chemical plant permitting activities continue, with background studies to be used in the chemical plant permit applications proceeding on schedule. We plan to submit these permit applications shortly after completion of the chemical plant PFS and expect to receive these permits by the end of 2020.
  • Continued numerous preliminary off-take, financing and strategic conversations, including companies from the lithium, mining, chemicals, battery, automotive and private equity sectors.
  • Soil and rock chip sampling at the Project in North Carolina, United States, led to the discovery of five new spodumene-bearing pegmatites in areas that have not previously been explored.
  • Assays from the final 19 drill holes of the Phase 4 drilling program at the Project’s Central and Core properties intersected significant mineralization, including 36.0m @ 1.11% Li2O and 44.9m @ 1.30% Li2O in Hole 19-CT-19, 13.0m @ 1.28% Li2O and 7.3m @ 1.37% Li2O in Hole 19-CT-26, and 14.8m @ 1.55% Li2O and 12.4m @ 1.02% Li2O in Hole 19-BD-332.

Next steps:

  • Complete the chemical plant PFS and a fully integrated Scoping Study Update in Q2 2020.
  • Finalize the bench scale lithium hydroxide testwork program and produce initial product samples in Q2 2020.
  • Submit key chemical plant permit applications including a synthetic minor source air permit application.
  • Build out project construction and sales & marketing teams.
  • Continue offtake discussions for lithium hydroxide and by-product quartz, feldspar and mica.
  • Continue to evaluate strategic partnering options.

To view the full ASX Announcement, click here.

Keith D. Phillips | President & CEO

+1 973 809 0505

kphillips@piedmontlithium.com


A message from Piedmont Lithium’s CEO, Keith D. Phillips

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NEW YORK –
Piedmont Lithium Limited (ASX: PLL; Nasdaq: PLL):

March 18, 2020

Dear Shareholders and Friends,

In this time of market volatility surrounding the coronavirus pandemic, I wanted to provide a brief update on current activities at Piedmont Lithium Limited (“Piedmont”) as well as our plans going forward.

First and foremost, we are focused on the safety of our employees, consultants and advisors. Non-essential travel has been eliminated and in-person meetings have been curtailed given the social distancing that most groups are observing. As a development stage company, we often work remotely in the normal course, and we have formalized that approach for the time being with little impact on productivity.

Our current focus is on three areas, each of which is progressing well:

  • Lithium hydroxide testwork. Hydroxide testwork is nearing completion at SGS in Lakefield, Ontario. As reported on February 25, 2020, we have completed 9 of the 10 steps with positive results. The final crystallization steps are under way but will take longer than planned due to some remote working practices being implemented at the SGS laboratory. We do not expect this extended completion of testwork to have an impact on our other activities.
  • Chemical plant prefeasibility study. Hatch is progressing its work on the chemical plant pre-feasibility study (“PFS”) and remains on track for delivery in Q2 2020. The chemical plant PFS will provide refined estimates of our capital and operating costs and should reinforce our position as a low-cost US-based producer of lithium hydroxide.
  • Chemical plant permitting activities. Background studies to be used in the chemical plant permit applications are ongoing and proceeding on schedule. We still plan to submit these permit applications shortly after completion of the chemical plant PFS and expect to receive these permits during 2020.

Each of these three activities is of critical importance, and each is well advanced. Our plan remains to complete these three significant de-risking steps and then evaluate market conditions before accelerating toward completion of a definitive feasibility study.

We take great comfort in our strong financial position and will be prudent in maintaining that through this market dislocation. We completed a large equity financing in July 2019 with strong institutional support and have a very strong cash position (US$11.4 million / A$18.4 million at December 31, 2019), as well as a modest monthly cash burn rate.

I would like to make a final comment on lithium market dynamics. While uncertainly exists with respect to the duration of the current economic slowdown, it is increasingly clear that the future is bright for the lithium business, particularly in the United States. Some recent market developments are worth highlighting:

  • European electric vehicle (“EV”) sales were up strongly in February, including growth of +200% in the UK and France;
  • General Motors announced a $20 billion investment in electrification, including unveiling their Ultium batteries to be produced in joint venture with LG Chemical and expected to drive battery cell costs below $100/kWh;
  • Audi, Mercedes and Jaguar are all reported to be having difficulty securing battery supplies;
  • Progress continues on next generation batteries expected to contain substantially more lithium, particularly in the anode and electrolyte; and
  • Shutdowns associated with the coronavirus have made increasingly clear the merits of local supply sources. China currently produces roughly 80% of the world’s lithium hydroxide, highlighting the strategic advantage of our unique location in the USA’s ‘auto alley’.

In short, the future of Piedmont is bright and we anticipate positive developments in coming weeks and months. Please don’t hesitate to reach out to me at kphillips@piedmontlithium.com if you would like to learn more. In the interim, stay safe!

Yours sincerely,

Keith D. Phillips

President & CEO

About Piedmont Lithium

Piedmont Lithium Limited (ASX: PLL; Nasdaq: PLL) holds a 100% interest in the Piedmont Lithium Project (“Project”) located within the world-class Carolina Tin-Spodumene Belt (“TSB”) and along trend to the Hallman Beam and Kings Mountain mines, historically providing most of the western world’s lithium between the 1950s and the 1980s. The TSB has been described as one of the largest lithium provinces in the world and is located approximately 25 miles west of Charlotte, North Carolina. It is a premier location for development of an integrated lithium business based on its favorable geology, spodumene-only mineralogy, proven metallurgy and easy access to infrastructure, power, R&D centers for lithium and battery storage, major high-tech population centers and downstream lithium processing facilities.

Forward Looking Statements

This announcement may include forward-looking statements. These forward-looking statements are based on Piedmont’s expectations and beliefs concerning future events. Forward looking statements are necessarily subject to risks, uncertainties and other factors, many of which are outside the control of Piedmont, which could cause actual results to differ materially from such statements. Piedmont makes no undertaking to subsequently update or revise the forward-looking statements made in this announcement, to reflect the circumstances or events after the date of that announcement.

This announcement has been authorized for release by Piedmont’s President & CEO, Keith D. Phillips.

For further information:

Keith D. Phillips

President & CEO

T: +1 973 809 0505

E: kphillips@piedmontlithium.com

Timothy McKenna

Investor and Government Relations

T: +1 732 331 6457

E: tmckenna@piedmontlithium.com


Hydroxide Testwork Program Proceeding Favorably

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  • Lithium hydroxide testwork at SGS Lakefield is on schedule and proceeding well
  • Delivery of hydroxide samples to prospective offtake partners will commence upon program completion
  • Optimized flowsheet to underpin Chemical Plant PFS targeted for Q2 2020

NEW YORK – Piedmont Lithium Limited (“Piedmont” or “Company”) is pleased to provide an update on the metallurgical testwork program underway at SGS Labs (“SGS”) in Lakefield, Ontario. The Company remains on schedule to announce results of this bench-scale program and to produce lithium hydroxide (“LiOH”) samples for delivery to prospective offtake partners in advance of PFS completion. The optimized flowsheet developed during this testwork will serve as the basis of the Chemical plant prefeasibility study (“PFS”) to be completed in Q2 2020.

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20200226005181/en/

Spodumene calcination and roasting (from left to right) - (top) pilot kiln, calcined product, milled beta spodumene (bottom) beta spodumene after mixing, beta spodumene after roasting (Photo: Business Wire)

Spodumene calcination and roasting (from left to right) – (top) pilot kiln, calcined product, milled beta spodumene (bottom) beta spodumene after mixing, beta spodumene after roasting (Photo: Business Wire)

SGS is advancing a lithium conversion testwork program using a ‘direct-to-hydroxide’ approach developed in collaboration with Piedmont Lithium personnel and engineering consultants Hatch and Primero Group. Piedmont previously announced outstanding PFS-level metallurgical results for the production of spodumene concentrate (see press release dated July 16, 2019). The concentrate produced during that program and other spodumene concentrate produced from the same composite sample is now being used by SGS for the ongoing bench-scale lithium hydroxide testwork.

Optimization tests on bench scale samples have been completed for calcination, roasting, water leach, primary and secondary impurity removal, and filtration. Ion exchange tests have been completed. Work completed to date represents approximately 90% of the steps in the bench scale testwork program, with multi-stage lithium hydroxide crystallization and final assay results expected in coming weeks.

Following production of initial samples, the Company will undertake additional conversion tests using optimized test conditions to demonstrate repeatability of product quality and confirm flowsheet design.

Upon completion of the testwork program the Company will be in a position to share lithium hydroxide samples with prospective offtake partners. Our dialogues with prospective customers have been advancing well, and these samples will provide the first opportunity for customers to assess the quality of the material we expect to produce.

Keith D. Phillips, President and Chief Executive Officer, commented: “We are very encouraged by the positive results generated thus far in the lithium hydroxide testwork program, and expect the final results to be announced in the near future. The optimization tests performed by SGS will allow us to refine the proposed Chemical Plant flowsheet and will underpin the prefeasibility study targeted for completion in Q2 2020. Completion of the PFS, along with continued advances on the permitting and offtake fronts, position us to advance our Project to shovel-ready status by the end of the year, well-timed for the recovery in lithium prices and market sentiment that many observers are forecasting for the remainder of this year.”

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For further information:

Keith D. Phillips

President & CEO

T: +1 973 809 0505

E: kphillips@piedmontlithium.com

Timothy McKenna

Investor and Government Relations

T: +1 732 331 6457

E: tmckenna@piedmontlithium.com