Avalon Advanced Stock Price, News & Analysis

Avalon Advanced Materials (TSX: AVL, OTCQB: AVLNF) held its 2025 Annual and Special Meeting of Shareholders on February 27, 2025, in Toronto, Ontario. During the meeting, shareholders approved all seven director nominees listed in the company's information circular dated January 14, 2025. Additionally, shareholders reappointed Ernst & Young LLP as the company's auditors and approved the issuance of common shares to SCR-Sibelco NV upon conversion of the amended and restated convertible debenture dated November 18, 2024.

Avalon Advanced Materials (TSX: AVL, OTCQB: AVLNF) has announced an updated Mineral Resource Estimate (MRE) for its JV Separation Rapids Project in Kenora, Ontario, showing significant resource growth. The update, prepared by SLR Consulting and supported by 29 new drill holes, reveals a 28% increase in Measured + Indicated Mineral Resource tonnage and a 13% decrease in Inferred Resource tonnage compared to 2023.

Key highlights as of January 30, 2025:

• Open pit Measured and Indicated Resources: 10.73 Mt grading 1.27% Li₂O for 136 kt contained Li₂O
• Combined open pit and underground Measured and Indicated Resources: 12.98 Mt grading 1.34% Li₂O for 173 kt Li₂O
• Inferred Resources: 2.29 Mt grading 1.46% Li₂O for 33 kt Li₂O

For 2025, Avalon plans to advance lithium resource development through metallurgical, geotechnical, and environmental studies, focusing on petalite, spodumene, and lepidolite recovery processes.

Avalon Advanced Materials (TSX: AVL) (OTCQB: AVLNF) has appointed Mark N.J. Ashcroft, P.Eng., as a Strategic Consultant to its wholly owned subsidiary, Lake Superior Lithium Inc. (LSLi). This appointment strengthens Avalon's governance framework as it develops the proposed 30,000-tonne lithium processing facility in Thunder Bay, Ontario.

The LSLi Facility aims to be Ontario's first midstream lithium hydroxide processing facility, converting locally mined lithium concentrates into battery-grade lithium hydroxide. This represents a vital link in the critical minerals supply chain for downstream electric vehicle battery manufacturing in southern Ontario.

Additionally, Avalon announced leadership changes: Scott Monteith has assumed the role of President (in addition to his CEO position), Zeeshan Syed has become Vice-President of External Affairs and Partnerships, and Rickardo Welyhorsky departed the company in January 2025.

Avalon Advanced Materials (TSX: AVL, OTCQB: AVLNF) has secured CAD $3.5 million in convertible debenture financing from major shareholder Sibelco. The new funding replaces an existing CAD $3.0 million debenture, resulting in a total principal amount of CAD $6.5 million. The debenture matures on November 18, 2026, bearing a 7.5% annual interest rate. The funds will advance the Lake Superior Lithium Project, which recently showed positive PEA results with an after-tax NPV of CAD $4.1 billion, and the Nechalacho REE Project. If not repaid at maturity, Sibelco can convert the amount into Avalon shares or increase its stake in the joint venture company to 90%.

Avalon Advanced Materials (TSX: AVL, OTCQB: AVLNF) has signed a memorandum of understanding with Qualcomm Technologies for a strategic collaboration focused on their Thunder Bay lithium processing facility. The partnership aims to implement Industrial & Edge technologies to enhance operational efficiency and optimize data management. The collaboration will develop IoT-enabled solutions and create a digital infrastructure supporting mining activities. This initiative will help establish Ontario as a technology hub for mining innovation, involving local SMEs in the digital transformation of Canada's critical minerals sector. The companies will host a Mining Innovation and Technology Roundtable in Toronto on November 13, 2024.

Avalon Advanced Materials Inc. (TSX: AVL) (OTCQB: AVLNF) has released the results of a third-party economic and labour study for its proposed lithium processing facility in Thunder Bay, Ontario. The study, conducted by RIAS Inc., highlights the significant economic and labour impacts of the Lake Superior Lithium Project from local to national levels.

Key highlights include:

• Construction phase (2027): GDP impact of $754 to $878 million nationally
• Operational phase (2028-2058): GDP impact of $31.0 billion nationally
• Total employment impact: 78,903 to 82,464 person-years nationally
• 128 permanent full-time jobs during operations

The project aligns with the Sustainable Jobs Act and aims to create a skilled workforce for the emerging lithium processing sector. Thunder Bay's mayor, Ken Boshcoff, emphasized the project's role in revitalizing Canada's economy and boosting the region's presence in electric vehicle and battery storage technologies.

Avalon Advanced Materials Inc. (TSX: AVL) (OTCQB: AVLNF) has released a video rendering of its proposed lithium processing facility at the Lake Superior Lithium Project in Thunder Bay, Ontario. The video showcases the facility's innovative battery-grade lithium hydroxide conversion process, from spodumene transport to final product packaging. This release follows the completion of a Preliminary Economic Assessment (PEA) for the project, which demonstrates strong economic viability.

Key PEA highlights include:

• After-tax Net Present Value (NPV): $4.1 billion at an 8% discount rate
• After-tax Internal Rate of Return (IRR): 48% over 30 years
• Total Capital Cost (CAPEX): $1.3 billion

The project is positioned as a strategic investment in advanced manufacturing for Ontario and energy security for North America.

Avalon Advanced Materials Inc. (TSX: AVL) (OTCQB: AVLNF) has announced plans to develop a zero-emission solar farm at its Thunder Bay industrial site, the future location of its lithium processing facility. This initiative highlights Avalon's commitment to sustainability and positions Ontario as a leader in advanced manufacturing and clean energy.

The proposed solar farm will repurpose unused land and utilize rooftop space, potentially generating enough renewable energy to fully support the lithium processing facility's energy requirements. This clean energy solution will help offset the facility's carbon footprint, contributing to Avalon's goal of achieving Net Zero emissions.

Strategically located near key electrical grid distribution lines, the solar farm will benefit from reduced transmission losses, enhancing energy efficiency. CEO Scott Monteith emphasized the company's commitment to building with the future in mind, integrating solar capacity to minimize environmental impact.

Avalon Advanced Materials Inc. (TSX: AVL, OTCQB: AVLNF) has completed a Preliminary Economic Assessment (PEA) for its Lithium Hydroxide Processing Facility project in Thunder Bay, Ontario. The PEA demonstrates compelling economic viability with key highlights including:

- After-tax Net Present Value (NPV) of $4.1 billion at 8% discount rate
- After-tax Internal Rate of Return (IRR) of 48% for the 30-year period
- Initial Capital Cost of $1.2 billion and Total Capital Cost of $1.3 billion
- All-in Life-of-Project Operating Costs of $13,029/tonne

The project aims to produce 30,000 tonnes of battery-grade lithium hydroxide annually using innovative Metso Technology. Strategically located on brownfield industrial property with existing infrastructure, the project is well-positioned for permitting and development.