American Battery Technology advances lithium project

RENO, Nev. - American Battery Technology Company (NASDAQ: ABAT), currently valued at $83 million and holding more cash than debt on its balance sheet, has announced the completion of its fourth drill program at the Tonopah Flats Lithium Project (TFLP) in Nevada. This development is in line with the executive order by President Trump aimed at boosting domestic mineral production.

The completion of the drilling program is a significant step in American Battery Technology's efforts to commercialize its lithium resource. The company's CEO, Ryan Melsert, expressed optimism about the project's potential to support national security, supply chain stability, and job creation through collaboration with the Administration. According to InvestingPro data, ABAT's stock has experienced significant volatility, with the share price down nearly 60% year-to-date, though analysts project substantial revenue growth of over 300% for the current fiscal year.

The drilling was conducted by True North Drilling and is intended to refine the understanding of the lithium resource at TFLP. Barr Engineering has been hired to assist with the mine plan of operation and the upcoming publication of a prefeasibility study (PFS), which is expected to build on an initial assessment that identified TFLP as one of the largest domestic lithium resources with an estimated 21.2 million tons of lithium carbonate equivalent (LCE). With a current ratio of 1.75 but an overall "WEAK" financial health score according to InvestingPro, the company faces both opportunities and challenges in its development path. Get access to 6 additional ProTips and comprehensive financial analysis with an InvestingPro subscription.

The PFS will be crucial for identifying financing strategies and further developing the project. American Battery Technology Company has already successfully produced battery-grade lithium hydroxide from TFLP claystone using its proprietary technology and has engaged Black & Veatch for the construction of a lithium hydroxide refinery on site.

The company's approach to lithium extraction from Nevada's claystone is unconventional compared to the hard rock spodumene and lithium-rich brines used in other parts of the world. The U.S. lacks large quantities of these conventional resources, making ABTC's technology pivotal for increasing domestic production of battery-grade lithium products.

The Tonopah Flats Project is part of ABTC's mission to lead in the sustainable advancement of critical battery materials and establish a secure place in the U.S.'s battery supply chain. The company emphasizes innovation, collaboration, and environmentally responsible practices.

This press release contains forward-looking statements regarding the company's future results and the potential risks and uncertainties that could cause actual results to differ. These statements are based on current expectations and involve known and unknown risks.

The information in this article is based on a press release statement from American Battery Technology Company.

In other recent news, American Battery Technology Company has entered into a contract to sell a 12-acre property in Fernley, Nevada, for $6.75 million. The proceeds from this sale will support the advancement of the company's commercial-scale battery recycling facility in McCarran, Nevada. This move aligns with the company's strategy to focus on lithium-ion battery recycling technology and operations. Additionally, American Battery Technology has more than doubled its production of recycled battery materials in the latest quarter, attributed to 24/7 operations and manufacturing enhancements at its facility.

The company is also preparing to integrate a chemical extraction train to further refine recycled products into high-purity metals. In executive news, American Battery Technology has announced the upcoming retirement of CFO Jesse Deutsch, with Paul McGarry stepping in as the interim CFO. Furthermore, the company has regained compliance with Nasdaq's minimum bid price requirement, ensuring its stock remains listed on the exchange. These developments highlight American Battery Technology's ongoing efforts to strengthen its operations and maintain regulatory standards.

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