Chinese battery materials giant Zhejiang Huayou Cobalt acquisition bid for Atlantic Lithium is seeking to acquire Atlantic Lithium in a proposed $210 million transaction that could reshape the future of Ghana’s Ewoyaa lithium project.
In a notice released in the early hours of May 7, Atlantic Lithium’s directors confirmed that Zhejiang Huayou Cobalt had made an offer to acquire the company, expanding the Chinese firm’s growing footprint in Africa’s critical minerals sector.
Huayou is already a major player in Africa’s lithium industry after acquiring the Arcadia Lithium Project for about $422 million in 2022.
Trial production of lithium sulphate at the Zimbabwean project reportedly began in early 2026.
Atlantic Lithium Chief Executive Officer Keith Muller said the proposal comes at a difficult period for the company as it deals with lithium price volatility and funding and execution risks linked to the Ewoyaa project.
“The proposal offers an attractive proposition for Atlantic Lithium shareholders, particularly when considered amid ongoing lithium price volatility, complex jurisdictional challenges and against the timing and execution risks attached to financing, developing and operating the Ewoyaa Lithium Project under the Project’s current joint venture arrangements,” he said.
His comments suggest the company has been facing financing constraints and regulatory uncertainty while attempting to advance the Ewoyaa project.
Atlantic Lithium’s Ghanaian subsidiary, Barari DV Ghana Limited, only recently secured parliamentary ratification of its Ewoyaa mining lease after nearly three years of delays and disagreements over the fiscal terms of the agreement.
The company is also updating its Definitive Feasibility Study, a key requirement for securing financing for the construction and operationalisation of the mine.
The proposed acquisition by Huayou could significantly improve the project’s funding and execution outlook.
If approved by shareholders and regulators, the deal could accelerate the development of the Ewoyaa mine and deepen China’s influence in Africa’s critical minerals sector, particularly in lithium, which remains essential to the global electric vehicle and energy storage industries.
The acquisition is expected to be completed by December 2026, subject to shareholder, court and regulatory approvals.
