Firebird Metals Receives Initial A$1 Million ARENA Grant Payment as Perth Demonstration Plant Assembly Begins

Firebird's Proprietary Manganese-to-Cathode Technology and Market Strategy

Firebird Metals Limited is an Australian-owned technology company focused on developing advanced manganese-based lithium-ion battery materials targeting electric vehicle and energy storage markets. The company’s key advantage is its proprietary, patented, and exclusively licensed technology enabling direct processing of manganese concentrate into cathode active materials (CAM) via a single integrated process line. This process combines a high-efficiency kiln with advanced crystallisation and downstream processing to reduce costs and energy consumption compared to traditional methods.

The technology targets two main market segments: near-term production of high-purity manganese sulphate (HPMSM) for lithium manganese iron phosphate (LMFP) batteries and a longer-term lithium manganese rich (LMR) program focused on next-generation cathodes. Firebird’s resource base includes 234 million tonnes of manganese in Western Australia, with the Oakover deposit containing 176.7 million tonnes at 9.9% Mn (including 105.8 million tonnes indicated at 10.1% Mn) and Hill 616 holding 57.5 million tonnes at 12.2% Mn. The company maintains flexibility to source manganese ore from third-party suppliers and stockpiles, retaining mining optionality within its portfolio to secure feedstock for future commercial operations.

Completion of ARENA Milestone 1 and Receipt of A$1.0 Million Non-Dilutive Funding

Firebird has received formal approval from ARENA confirming completion of all Milestone 1 deliverables under the A$2.0 million Battery Breakthrough Initiative grant. This approval triggered the first A$1.0 million non-dilutive cash payment. The grant does not require equity dilution or grant ARENA rights to Firebird’s intellectual property. Firebird is matching the ARENA funding with existing cash reserves, with a further A$1.0 million expected as additional ADP assembly and commissioning milestones are met.

ARENA, an Australian Government agency accelerating pre-commercial innovation to support the net zero transition, structured the Battery Breakthrough Initiative as a A$500 million program integral to Australia’s National Battery Strategy. The initiative supports domestic battery manufacturing and supply chain resilience. Firebird’s grant is divided into three milestones, with Milestone 1 completed early and within budget, demonstrating strong project execution.

Milestone 1 Achievements: Site Secured, Equipment Ordered, and Compliance Confirmed

All key ADP Milestone 1 deliverables were completed ahead of schedule and budget, as confirmed by ARENA. These included securing the Osborne Park site in Western Australia, initiating office fit-out and site preparation, and placing all major equipment orders—a milestone announced on 16 June 2026. Firebird’s licensed Australian electrical contractor conducted an in-country inspection in China, verifying that all key equipment complies with Australian electrical standards.

Additional Milestone 1 accomplishments include acceptance of a formal Risk Management Plan developed with a leading Australian engineering firm, finalisation of operational procedures translated into English, and engagement with qualified professionals interested in joining the ADP project. These deliverables reflect thorough planning and stakeholder engagement to ensure smooth progression to assembly and commissioning.

Australian Demonstration Plant: First Integrated Manganese-to-Cathode Facility Outside China

The ADP in Osborne Park, Perth, is designed to be the world’s first fully integrated manganese-to-cathode active material processing facility outside China. This facility is a critical component of Firebird’s commercialisation strategy, now entering site readiness, equipment installation, and commissioning phases. The ADP will validate proprietary processing technologies, optimise manufacturing, produce customer qualification materials, and generate operational data to support future commercial-scale deployment.

Firebird’s pilot facility has demonstrated the full process from manganese ore to high-performance CAM, and the ADP will replicate this under Australian conditions while delivering HPMSM and cathode samples for customer qualification. As the first advanced manganese battery materials facility outside China, the ADP is expected to accelerate strategic partnerships and underpin Firebird’s global growth. The company will relocate to Osborne Park next month, with site establishment and Milestone 2 activities underway as major equipment delivery, assembly, and commissioning progress.

Equipment Sourcing and Compliance Verification

All major process equipment sourced from China has undergone independent verification to ensure compliance with Australian electrical standards. Firebird’s licensed Australian electrical contractor completed an in-country inspection in China, confirming that equipment meets applicable standards. This quality assurance step ensures safe, effective operation within Australia without costly modifications or commissioning delays.

This proactive compliance verification highlights Firebird’s operational rigor and regulatory commitment, preventing potential delays and additional costs. It also reassures stakeholders, including ARENA and commercial partners, of the project’s robust management.

Expanding Commercial Engagement Across Global Battery Supply Chain

Firebird’s commercial discussions are accelerating globally with leading battery manufacturers, automotive OEMs, and downstream participants. These engagements validate market interest in Firebird’s manganese-based battery materials and highlight its potential to diversify and secure global battery supply chains. The ADP’s production of customer qualification materials will facilitate rigorous evaluation by potential customers.

Progress across the battery value chain—from raw material suppliers to automotive OEMs—signals growing confidence in Firebird’s technology and its applicability across multiple battery chemistries. Strategic partnerships emerging from these discussions are expected to support Firebird’s commercial-scale production, offering market validation and potential offtake agreements to mitigate future investment risks.

Non-Dilutive ARENA Grant Enhances Funding Efficiency

The ARENA Battery Breakthrough Initiative grant provides non-dilutive funding, requiring no equity issuance or intellectual property concessions. The A$2.0 million grant is matched by Firebird’s cash reserves, with the initial A$1.0 million received after Milestone 1 and a further A$1.0 million anticipated as additional milestones are met. This funding structure enables Firebird to advance ADP development while preserving shareholder equity and control over proprietary technology.

This capital efficiency is critical for battery materials companies, where demonstration-scale facilities demand significant investment to validate new processes. Securing matched government funding allows Firebird to progress without diluting shareholders, demonstrating financial discipline and access to government support for critical battery supply chain infrastructure in Australia.

Strategic Role of ADP in Firebird’s Commercialisation Journey

The ADP is central to Firebird’s commercialisation and scale-up strategy, serving to validate proprietary processing at demonstration scale, optimise manufacturing for commercial deployment, produce customer qualification materials, and generate operational data for future facility design and investment. This multi-purpose role makes the ADP a cornerstone in transitioning from pilot operations to commercial production.

CEO Ron Mitchell stated that receiving the first ARENA milestone payment reflects continued Australian Government confidence in Firebird’s technology and execution. As the first advanced manganese battery materials facility outside China, the ADP positions Firebird at the forefront of efforts to diversify global battery supply chains and reduce reliance on Chinese processing. This strategic advantage is expected to accelerate partnerships with international battery manufacturers and automotive OEMs seeking supply chain diversification.

Regulatory Framework and National Battery Strategy Alignment

Firebird’s ARENA grant aligns with Australia’s National Battery Strategy, which prioritises domestic battery manufacturing and supply chain resilience. The A$500 million Battery Breakthrough Initiative supports pre-commercial innovation in battery technologies and materials processing, underscoring the strategic importance of battery materials manufacturing to Australia’s economic future amid the global energy transition.

Government support for projects like Firebird’s ADP reflects recognition of advanced battery materials processing as a high-value manufacturing opportunity, leveraging Australia’s significant manganese resources. By fostering demonstration-scale facilities outside China, the Australian Government aims to build domestic capability and supply chain resilience, creating opportunities for Australian companies in global battery materials markets. This policy context adds strategic significance to Firebird’s ADP beyond immediate commercial goals.

Upcoming Milestones and Timeline for Equipment Delivery and Commissioning

Firebird is advancing into the next ADP development phase with site preparation progressing ahead of equipment delivery, assembly, and commissioning. The company will relocate to Osborne Park next month, with Milestone 2 activities underway. An additional A$1.0 million ARENA payment is expected as assembly and commissioning milestones are achieved, providing ongoing non-dilutive funding.

Future milestones will yield operational data to guide commercial-scale facility design, produce customer qualification materials to support commercial discussions and potential offtake agreements, and validate cost and energy efficiency assumptions underpinning Firebird’s commercialisation plans. Investors will monitor announcements on equipment delivery, commissioning progress, and initial customer material production as indicators of project advancement.