Kodal Minerals Targets Major Lithium Growth in Ghana as Bougouni Mine Strengthens Expansion Plans Across West Africa
Kodal Minerals is accelerating its West African growth strategy by expanding beyond its producing Bougouni lithium mine in Mali and pursuing a new exploration opportunity in Ghana, as improving lithium market conditions revive investor confidence in the battery metals sector.
The London-listed miner has entered into a binding agreement with GH Geo-Consult Ltd to acquire up to an 80% interest in the Asamankese lithium project, located in Ghana’s Eastern Region.
As part of the transaction, Kodal has secured an initial 10% stake for $300,000 and committed to investing at least $13 million in exploration activities over the next five years.
The move marks a significant step in the company’s efforts to establish a broader lithium portfolio across West Africa, a region increasingly attracting attention for its critical mineral potential.
Chief Executive Officer Bernard Aylward said Kodal’s long-standing operational experience in the region provides a strong foundation for expansion.
“We understand the legislation, we understand how to work with local communities and authorities, and we believe the geological potential is very strong,” Aylward said.
Building on Bougouni’s Success
Kodal’s expansion strategy is supported by the successful development of its Bougouni lithium mine in Mali, which began production in 2025 through a joint venture with China’s Hainan Mining.
The company also maintains gold exploration interests in Mali and Côte d’Ivoire, strengthening its regional presence.
The new Ghana venture comes at a time when West African governments are seeking to diversify their mining industries beyond gold and increase participation in the fast-growing critical minerals market.
Lithium, a key component in electric vehicle batteries, energy storage systems and consumer electronics, has become a strategic priority for many resource-rich nations.
Encouraging Early Results in Ghana
Initial exploration at the Asamankese project has already identified promising pegmatite formations. Rock-chip sampling at the Amantra and Nfranta prospects returned lithium oxide grades of up to 3.02%, suggesting the potential for a significant mineral discovery.
According to Kodal, these early geological indicators resemble results recorded during the initial stages of exploration at Bougouni, increasing confidence that the Ghanaian project could evolve into a substantial lithium asset.
“Asamankese represents a strategic expansion of Kodal’s lithium footprint in West Africa and provides an exciting new growth opportunity in Ghana,” Aylward said.
The company is currently refining exploration targets ahead of a planned reconnaissance diamond drilling programme, which will help determine the scale and pace of future investment.
Importantly, Kodal intends to fund the exploration campaign through existing cash reserves and operating cash flow generated by Bougouni, avoiding the need for shareholder dilution through new equity financing.
Stronger Lithium Market Outlook
Kodal’s expansion plans coincide with a gradual recovery in lithium prices following a prolonged market downturn that forced delays and reassessments across the global lithium industry.
The improving market environment has renewed interest in exploration and project development, including in Ghana, where the high-profile Ewoyaa lithium project has faced delays.
Despite short-term market volatility, long-term demand fundamentals remain robust. Growth in electric vehicle adoption, grid-scale energy storage and consumer electronics continues to support expectations of rising lithium consumption over the coming decades.
Security Risks Remain a Key Consideration
While the region offers significant geological potential, mining companies continue to face security challenges in parts of West Africa.
The growing presence of militant groups in some areas has heightened concerns about operational safety and investment risk.
Kodal itself has previously encountered security incidents at its Bougouni operation, including an armed attack that resulted in the death of a security guard.
Nevertheless, the company remains committed to expanding its footprint in the region, attracted by the combination of underexplored critical mineral resources and established mining infrastructure.
With a planned $13 million exploration programme and increasing cash flow from production in Mali, Kodal is positioning itself to become a more prominent player in West Africa’s emerging lithium sector.
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