Perth-based Lithium Australia NL (ASX: LIT) extracts, acquires, develops lithium deposits and aspiring to close the loop on the energy-metal cycle in a sustainable manner, thus enabling a circular battery economy.
On 29 November 2019, the company announced that its 74%-owned subsidiary Envirostream Australia Pty Ltd has reported the first production of High-value mixed metal dust (MMD) from the latter’s new battery recycling plant in Melbourne, which can recycle up to 3,000 tonnes per annum of spent batteries.
The first shipment of MMD comprising cobalt, nickel, lithium and carbon from the plant would be delivered shortly to South Korea. The company will also sell scrap of steel, copper and aluminium recovered from the spent lithium-ion batteries (LIBs) processed to obtain MMD from next month onward, as indicated.
Envirostream Business Model
In Australia, only Envirostream has the integrated capacity for all procedures from collection, sorting, shredding to the separation of all components of the used LIBs, which makes this company’s capability an appropriate fit to Lithium Australia’s expertise in critical battery-metal-processing.
(Source: Company’s announcement 29 Nov 2019)
The Australian-owned enclosed battery processing facility, designed and constructed by the Envirostream team, follows the international best practice. The ISO 14001-accredited modular processing technology of this facility, developed after over three (3) years of research and development, is capable of recovering around 95% of the materials from different types of spent batteries from alkaline and nickel-metalhydride types to LIBs. Envirostream, as an onshore mixed-battery recycling company, offers safe, sustainable and cutting-edge management solutions for what is emerging as one of the biggest challenges being faced b y the waste industry domestically.
Envirostream has agreements signed with a couple of retailers and manufacturers concerning the stewardship of spent batteries. The company is presently focussed on rolling out its collection network across the country with safe, reliable battery recycling units that are fully-compliant with Australian standards. The next step in completing Envirostream’s vision to provide every Australian with reasonable access, is to drop-off points for spent batteries, so as to avoid them being relegated to kerbside collections and landfill.
Lithium Australia’s Managing Director Adrian Griffin commented on this new development and remarked on behalf of the company that Lithium Australia is proud to being part of an environmental solution that offers every Australian the opportunity to recycle their spent batteries.
He explained that the processing of spent batteries not only makes the battery industry more sustainable but also prevents undesirable materials from ending up in landfill, which reduces the potential for groundwater contamination. He also expressed his appreciation for the Victorian government for banning such material from landfill and hoping that other jurisdictions will soon follow suit.
Source: 2019 AGM Presentation
Stock Performance: Lithium Australia has a market capitalisation of around AUD 17.63 million with ~ 534.27 million shares outstanding. On 29 November 2019, the LIT stock settled the day’s trading session at AUD 0.034, climbing up the price ladder by 3.03%.
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