Lithium Prices Surge as 2025 Market Recovery Gains Serious Momentum

As lithium prices continue to improve, two companies in the sector could benefit from stronger sentiment. Both have projects that are sensitive to shifts in pricing, and a firmer market often brings renewed attention to companies with established footholds in the lithium space. With confidence returning strongly to the sector, these types of stocks tend to attract more interest from investors watching for signs of a broader recovery.

Atlas Lithium Corp.

Atlas Lithium Corp. (ATLX:NASDAQ) recently secured approximately US$10 million in gross proceeds through a registered direct offering with two U.S.-based institutional investors. Atlas Lithium stated that proceeds would support the advancement of the Neves Lithium Project in Brazil and general corporate purposes. Chairman and CEO Marc Fogassa said, “We are honored to add as our newest shareholders these two premier, fundamental institutional investors. We believe that their investment strengthens our corporate profile as well as our balance sheet.”

In a November 17 research note, Heiko Ihle of H.C. Wainwright and Co. highlighted extensive industry engagement in the development process for the Neves project. Ihle stated that four technical site visits in September attracted between 11 and 17 contractors per event and generated more than 2,800 clarification questions from prospective bidders. He wrote that “the competitive bidding process supports disciplined cost outcomes and validates the project’s attractiveness,” noting that procurement packages tied to electromechanical assembly, mine operations, and internal road engineering accounted for approximately 70% of estimated capital expenditures.

Ihle also referenced the company’s August definitive feasibility study, which he said demonstrated strong economics. He wrote, “We remain pleased with the contents and financial projections of Atlas’ definitive feasibility study,” citing a US$539 million after-tax net present value, a 145% internal rate of return, and an 11-month payback period. The study projected operating costs of US$489 per ton and attributed the cost structure in part to low impurity, near-surface spodumene, and a fully paid-for dense media separation plant already in Brazil. Ihle added that the combination positioned the project competitively within the lithium development landscape. [OWNERSHIP_CHART-11040]

In a November 24 update, Ihle reaffirmed a Buy rating for Atlas Lithium and assigned a 12-month price target of US$12 per share. He noted that the revised target, though lower than a prior estimate, still implied a return of approximately 175% based on the offering price. Ihle incorporated the company’s 28.15% interest in Atlas Critical Minerals Corp. into his valuation and wrote that Atlas Lithium’s broader portfolio contributed to long-term optionality beyond the Neves project alone.

Ihle also commented on the company’s exploration progress at its Salinas project, located roughly 60 miles north of Neves. He stated that initial drilling confirmed spodumene-rich mineralization near surface and described the area as “a key area of future growth that is mostly ignored by the market thus far.” According to his note, Salinas represented an additional source of resource expansion potential and complemented the company’s existing land position within Brazil’s Lithium Valley.

Financial results also formed part of Ihle’s analysis. He reported that Atlas Lithium recorded a third-quarter 2025 net loss of US$8 million, or US$0.35 per share, compared with a US$9.7 million net loss in the same period of 2024. Ihle wrote, “We view current financials as largely immaterial given the transitional nature of the firm,” noting that Atlas Lithium was in the development phase and had begun to receive regulatory and operational approvals needed to advance construction.

One of the most significant developments cited by Ihle was the company’s receipt of a Portaria de Lavra from Brazil’s Ministry of Mines and Energy. This mining concession granted Atlas Lithium full mineral title and the right to begin and maintain mining operations at Neves. Ihle wrote, “We now anticipate near-term production… which may prove to be a major catalyst,” and concluded that Atlas Lithium’s “low cost status remains a key theme of anticipated operations.”

Atlas Lithium reported in its investor presentation that the Neves project carried a projected operating cost of US$489 per ton of lithium concentrate, supported by open-pit mining and a fully paid US$30 million dense media separation plant already delivered to Brazil. The company stated that Neves had an estimated after-tax net present value of US$539 million and an 11-month payback period based on the assumptions outlined in its definitive feasibility study. Over its initial 6.5-year mine life, Neves was expected to produce approximately 950,000 tonnes of spodumene concentrate grading 5.5% lithium oxide.

The company holds 557 square kilometers of mineral rights in Brazil’s Lithium Valley, which it reports is the largest exploration footprint in the region. Expansion opportunities include the 100% owned Salinas Project and targets adjacent to existing or recently acquired lithium operations. In addition to its lithium assets, Atlas Lithium maintains a 28% interest in Atlas Critical Minerals, which has exposure to rare earths, graphite, titanium, and uranium projects in Brazil. The company has also executed offtake and equity agreements with Mitsui, Chengxin, and Yahua, each of which committed to acquiring lithium concentrate or equity interests aligned with the Neves development timeline.