Join our daily newsletter At The Bell to receive exclusive market insights
- Lithium Australia’s (LIT) wholly-owned subsidiary Envirostream Australia signs an agreement with LG Energy to recycle “significant” volumes of lithium-ion batteries (LIBs)
- Under the agreement, LG will deliver the minimum 250 tonnes of LIBs to Envirostream’s facilities in Melbourne for processing
- The components will then be combined into a mixed metal dust to be repurposed into new LIBs anode and cathode powders
- This will enable the company to receive additional battery volumes and commence the safe recycling of these batteries with immediate effect
- Shares in Lithium Australia end the day 4.69 per cent in the red to close at 6.1 cents
Lithium Australia’s (LIT) wholly-owned subsidiary Envirostream Australia has signed an agreement with LG Energy to recycle “significant” volumes of lithium-ion batteries (LIBs).
The agreement is for the processing of a minimum of 250 tonnes of LIBs, equating to over 5000 energy storage systems and marks an increase from the initial agreement signed in 2018 which set the minimum at 85 tonnes.
Under the agreement, LG will deliver the LIBs to Environstream’s facilities in Melbourne for processing to be amalgamated into a mixed metal dust.
This will allow active metals to be repurposed into new lithium-ion batteries anode and cathode powders.
The company said this new agreement enables it to receive additional battery volumes and commence the safe recycling of these batteries with immediate effect.
Commenting on the renewed agreement, General Manager Andrew Mackenzie said it is very pleasing to see LG Energy commit to Envirostream as its Australian battery recycling partner.
“LG Energy shares our aspirations of an ethical and sustainable future for the global battery industry,” he said.
“Making these batteries available to Envirostream for recycling demonstrates LG Energy’s
commitment to our shared vision.”
The additional 250 tonnes from LG Energy represent 23 per cent of FY2022 collections, which the company expects to increase significantly in processing volumes for FY2023 relative to FY2022.
The agreement will end on August 31, 2023. Therearefer, the term will continue on a rolling six-month basis until terminated with 60 days’ written notice by either party.
Envirostream is looking to obtain similar recycling agreements with other cell and battery manufacturers.
Shares in Lithium Australia ended the day 4.69 per cent in the red to close at 6.1 cents.
