25 November 2021

Gold Demerger Update

Ricca Resources Limited

Offer Information Statement to be Dispatched

As set out in Atlantic Lithium Limited's (AIM: ALL, "Atlantic" or the "Company") announcement on 18 November 2021, shareholders have approved the capital reduction and in-specie distribution of shares held by the Company in Ricca Resources Limited ("Ricca Resources") to facilitate the demerger of the Company's gold assets.

The Offer Information Statement ("OIS") for a non-renounceable pro rata rights issue offer of Ricca Resources (the "Ricca Rights Issue" or "Priority Offer") to be dispatched to eligible Atlantic shareholders today.

HIGHLIGHTS:

Ø Shareholders approved the capital reduction and in-specie distribution to facilitate the gold demerger at the AGM held on 18 November 2021.

Ø The Offer Information Statement in respect of the Priority Offer to raise up to A$7.2m (which is fully underwritten by Canaccord Genuity Australia Limited) to be dispatched to eligible shareholders today.

Ø Ministerial approval received from Chad for the transfer of the Chadian gold tenements to Ricca Resources.

Ø The demerger timeline for completion remains unchanged with a proposed completion date of 22 December 2021.

Ø Atlantic to provide Ricca Resources with initial start-up capital of A$7m.

Ø Post demerger, Ricca Resources will have a cash balance of approximately A$14.2m before costs.  

The offer information statement can be found https://www.atlanticlithium.com.au/Ricca OIS

Ricca Resources' website can be found at www.riccaresources.com.au.

The Ricca Resources' presentation can also be found at www.riccaresources.com.au/presentations.

Shareholder Approval Received

Atlantic (formerly IronRidge Resources Limited) received shareholder approval for the capital reduction and in-specie distribution to facilitate the demerger of gold assets into Ricca Resources at the Company's AGM held on 18 November 2021 (refer RNS of 18 November 2021).

Offer Information Statement

Ricca Resources lodged the Offer Information Statement with the Australian Securities and Investments Commission on 17 November 2021. The Priority Offer offered under the OIS seeks to raise A$7.2m (before costs) and is fully underwritten by Canaccord Genuity Australia Limited ("CGAL").

The OIS will be dispatched to eligible ALL shareholders who were on Company's share register on 23 November 2021 (Entitlement Offer Record Date) and reside in an eligible country.

The Priority Offer invites eligible Atlantic shareholders to participate in the Ricca Resources Rights Issue to raise A$7.2m at an issue price A$0.10 cents per Ricca Resources share, on the basis of 1 new share in Ricca Resources for every 8 ALL shares held by eligible ALL shareholders (with entitlements being determined on the Entitlement Offer Record Date). 

Following the implementation of the proposed demerger, and assuming full subscription under the proposed Rights Issue, Ricca Resources will have a closing cash balance of approximately A$14.2m (before costs) with an enlarged issued share capital of 143,436,062 Shares ("Ricca Shares").

Demerger and Offer Information Statement Timetable

The Ricca Resources demerger timeline for completion remains unchanged, with a proposed completion date of 22 December 2021. The key dates for the Ricca Resources Priority Offer are set out below:

Note: The dates shown in the table above are indicative only and may be changed at the discretion of the Directors, subject to the Corporations Act, the AIM Rules, and other applicable laws. Details of the new times and dates will be notified to Shareholders by announcement through a Regulatory Information Service.

The Gold Demerger

The full details of the demerger and resolution put to the Company's shareholders are set out in the Notice of Meeting and Explanatory Memorandum, dated, and announced on 26 October 2021. Shareholders approved the demerger at the Company's AGM held and as announced on 18 November 2021.

For any further information, please contact:

Notes to Editors:

About Atlantic Lithium

www.atlanticlithium.com.au

Atlantic Lithium Limited (formerly "IronRidge Resources Limited") is an AIM-listed lithium company advancing a portfolio of projects in Ghana and Côte d'Ivoire through to production.

The Company's flagship project, the Ewoyaa Project in Ghana, is a significant lithium pegmatite discovery on track to become West Africa's first lithium producing mine. The project is fully funded to production under an agreement with Piedmont Lithium for US$102m and set to produce a premium lithium product. A robust Scoping Study indicates Life of Mine revenues exceeding US$1.5bn.

Atlantic holds a 560km² & 774km² tenure across Ghana and Côte d'Ivoire respectively, comprising significantly under-explored, highly prospective licenses.