The Sayona Mining Ltd (ASX: SYA) share price had a tough run in the month of March.
Sayona shares fell 12.8% from 23.5 cents at market close on 28 February to 20.5 cents at the end of trade on 31 March.
In today's trade, the Sayona Mining share price is 1.28% in the red. For perspective, the S&P/ASX 200 Materials Index (ASX: XMJ) is sliding 0.26%.
Let's take a look at what's been weighing on the Sayona Mining share price.
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Why did Sayona fall?
Sayona Mining was not the only ASX lithium share to struggle in March. The Core Lithium Ltd (ASX: CXO) share price shed 7.5%, while Pilbara Minerals Ltd (ASX: PLS) shares descended 5.5%.
Investors appeared to sell off Sayona shares amid wider market concerns about the lithium price.
News emerged in March that the lithium carbonate price had fallen to its lowest level in more than a year.
Lithium is a critical component of Electric Vehicle (EV) batteries. EV demand concerns impacted the lithium price in March.
However, Sayona did provide some positive news to the market in March.
On 7 March, Sayona emerged from a trading halt and announced it had completed a $54.9 million capital raise.
The funds will be used to advance the company's North American Lithium (NAL) operation and other growth projects in Quebec, Canada.
Commenting on this news, Sayona managing director Brett Lynch said:
Sayona has made significant progress in developing the leading hard rock lithium resource base in North America, with the pending restart of production at NAL set to mark our progression from explorer to producer.
Then, on 8 March, Sayona advised it had produced maiden spodumene concentrate of 70 tonnes at the NAL operation.
A further "new milestone" was announced on 16 March, with the company producing its first saleable commercial grade spodumene lithium concentrate at NAL.
Sayona is expecting to export this lithium in July this year. In the first half of FY24, Sayona is aiming to produce 85,000 to 115,000 tonnes of lithium.
Sayona Mining share price snapshot
The Sayona Mining share price has descended 43% in the last year.
Sayona has a market capitalisation of about $1.7 billion based on the current share price.
