Highlights
ALCORE receives major government backing through the Modern Manufacturing Initiative
Funding supports the commercialisation of industrial chemical production from smelter waste
Construction underway at Rio Tinto's Bell Bay facility to host continuous pilot operations
ABx Group Ltd (ASX:ABX), listed on the ASX 300, is gaining traction in Australia’s clean technology and materials sector through its majority-owned subsidiary ALCORE, which is ramping up production capabilities in aluminium-related industrial chemicals. The company recently secured backing from the federal government under the Modern Manufacturing Initiative to support the development of its advanced recycling processes.
This initiative aligns with broader national and global efforts to expand sustainable industrial methods and reduce emissions across heavy industries.
Federal Backing Aims to Accelerate Fluorine Recovery and Chemical Production
ALCORE’s proprietary process focuses on extracting hydrogen fluoride and other critical compounds from aluminium smelter bath waste. The funding from the Department of Industry, Science, and Resources is allocated to accelerate its transition from research to commercial-scale production.
ALCORE previously reported its highest fluorine recovery performance, achieved after optimisation in several technical aspects such as temperature, concentration, and particle processing. This performance benchmark has positioned the company for expanded application and potential commercial scalability.
Bell Bay Pilot Plant Takes Shape at Rio Tinto Facility
The current phase of ALCORE’s project involves the construction of a continuous pilot plant located at the Bell Bay site of Rio Tinto Ltd (ASX:RIO). A financial contribution from the Tasmanian Government is also expected to assist in completing this stage.
This facility is intended to serve as a proof-of-concept for ALCORE’s unique process, with work already underway to establish key systems and conduct operational trials in a controlled environment. The pilot phase marks a critical milestone in the company’s goal of delivering scalable chemical manufacturing from recycled aluminium waste streams.
Government Oversight Maintains Project and Repayment Framework
In addition to the capital grant, a portion of the project’s expenditure has received formal approval, unlocking phased releases of funds over the construction period. ALCORE is currently working alongside the Department to finalise a repayment schedule, ensuring project continuity without compromising execution or compliance.
These arrangements support the company’s long-term objectives to establish reliable commercial outputs while adhering to public sector accountability and sustainability goals.
Sustainability Push Drives Aluminium Demand
The Clean Energy Council projects a significant increase in aluminium demand over the coming decades, tied closely to its critical role in clean energy applications including solar infrastructure, batteries, and electric vehicle components. ALCORE’s focus on recovering valuable industrial compounds from aluminium production waste aligns with these trends, contributing to the circular economy.