Lithium Australia NL (ASX: LIT) aims to ethically and sustainably supply energy metals to the battery industry (enhancing energy security in the process) by creating a circular battery economy. The company, as a consequence of its experience in lithium ferro phosphate (LFP) batteries, is presenting its view on the future of LFP in the energy storage sector at the WA Clean Energy Forum 2019 being organised by the Clean Energy Council at the Perth (Western Australia) Convention Centre on 21 November 2019.
At its pilot plant located in Brisbane, Lithium Australia, through its’ wholly owned subsidiary, VSPC Ltd, has been producing LFP cathode powders that have undergone extensive evaluation by Chinese and Japanese battery producers. Along with its metal extraction technologies to recover lithium from mine waste, the company has also developed a phosphate, for directly feeding into the production of LFP cathode powders, similarly, it has achieved the re-birthing of cathode powders from lithium phosphate recovered from spent lithium ion batteries (LIBs).
There are many predictions as to the market penetration of LIBs, particularly in the electric vehicle (EV) sector. Regardless it is likely that the availability of spent batteries will rise to more than 7 million tonnes annually over the next 20 years.
Lithium Australia has partnered with Envirostream Australia to recover all metals from spent batteries, including the lithium as a phosphate.
Currently, the global recycling rates are only 9% with China dominating the practice and skewing statistics. On the other hand, Australia recycles less than 3%. This situation provides an unprecedented opportunity to apply advanced processing technologies to an industry that is becoming an environmental problem.
Lithium Australia’s achievements are significant as they are building a strong foundation for ethical and sustainable supply into the energy storage industry where LFP batteries provide superior safety, performance and longevity. LFP should be the battery of choice for Australian energy storage applications now and the benefits are likely to become even more compelling into the future.
LFP characteristics that make it the ideal chemistry for energy storage include:
- Deep discharge,
- High recharge rates,
- High power delivery,
- Long service life,
- Operation without battery management systems,
- Wide operational temperature range,
- No thermal runaway,
- Very safe, and
- Applicable to transport and energy storage applications.
Review of the Raw Materials Division
Lithium Australia is conducting a review of its Raw Materials Division at the backdrop of the ongoing lithium market conditions worldwide. In light of this, earlier on 20 November 2019, the company informed the market that as per the Option Agreement signed with Metal Hawk Limited and subject to successful initial public offer (IPO), Lithium Australia has agreed to the sale of its Emu Lake tenement E27/562, which is located ~70 km northeast of Kalgoorlie (Figure 1). Lithium Australia will retain lithium rights.
Metal Hawk is currently undertaking an IPO on the Australian Securities Exchange (ASX). Once it gets successfully listed on the ASX, Metal Hawk will issue around 300,000 MHK shares to Lithium Australia at a deemed issue price of $ 0.20 each. The details of the IPO are provided on the Metal Hawk website (metalhawk.com.au).
Stock Performance: Lithium Australia’s market cap stands at around $ 17.63 million with ~ 534.27 million shares outstanding. On 21 November 2019, the LIT stock settled the day’s trade at $ 0.033.
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