REG - Neometals Ltd - Primobius Achieves 85% Carbon Emissions Reduction

NeometalsAnnouncement

19/12/2023 07:45

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RNS Number : 2840X  Neometals Ltd  19 December 2023

 

 

19 December 2023

 

Neometals Ltd

("Neometals" or "the Company")

 

Primobius Recycling Process Achieves 85% Reduction in Carbon Emissions

 

Highlights

• Life cycle assessment ("LCA") shows potential for Primobius' lithium-ion
battery ("LiB") recycling plants to produce key battery materials with
exceptionally low CO(2) footprint;

• Independent ISO-compliant cradle-to-gate LCA completed by Minviro Ltd
using detailed engineering data from operations and demonstration trials; and

• Total 'Global Warming Potential' approximately 85% lower than comparisons
with predominant EV supply chains that start with primary mined nickel, cobalt
and lithium sources.

 

Innovative battery materials recycler, Neometals Ltd (ASX: NMT & AIM: NMT)
("Neometals" or "the Company"), is pleased to announce positive results from
an independent LCA undertaken by its 50:50 LiB recycling incorporated joint
venture, Primobius GmbH ("Primobius"). The LCA focused on Primobius'
production of the key battery materials, including lithium fluoride ("LiF"),
nickel sulphate hexahydrate ("NiSO(4)⋅6H(2)O") and cobalt sulphate
heptahydrate ("CoSO(4)⋅7H(2)O"), ("Primary Products"). The LCA confirmed the
Primobius' integrated hydrometallurgical refining process to have a
significantly lower carbon footprint than incumbent production pathways in
terms of global warming potential ("GWP").

 

Figure 1 - Comparison of GWP impact for producing key materials in Primobius'
hydrometallurgical product 'basket' versus those same refined chemicals that
originated from primary mined extraction. Refining data for chemicals was
derived using Chinese (cobalt and lithium) and Indonesian (nickel) operating
benchmarks which represent the largest manufacturing jurisdictions for the
respective primary products.

 

Chris Reed, Neometals Managing Director said:

"The LCA evidences the sustainability of Primobius' recycling plants and their
potential to largely remove embedded carbon from the battery materials supply
chain. Our hydrometallurgical recycling plants can deliver customers a secure
supply of low-cost, low-carbon battery materials to satisfy their
environmental ambitions and meet legislative requirements for new batteries to
utilise recycled content."

 

Background

Primobius engaged Minviro Ltd (www.minviro.com (http://www.minviro.com) ) to
conduct its cradle-to-gate LCA on the Primary Products produced from its
integrated recycling process. The LCA has quantified Primobius' environmental
impact and compares against equivalent products produced via incumbent raw
material extraction. The functional units of the LCA were 1kg of Li in LiF, 1
kg of Ni in NiSO4⋅6H(2)O and 1kg of Co in CoSO(4)⋅7H(2)O.  The study was
based on Primobius' 2023 engineering cost study(( 1 )) and was conducted
according to the requirements of the ISO-14040:2006 and ISO-14044:2006
standards. Scope 1, 2 and 3 emissions were included in the LCA which was
subject to a third-party ISO-compliant critical panel review.

Traditionally, the production of Primary Products has been dominated by
processing of mined raw materials. Courtesy of a simplified production
process, the Minviro LCA comparison scenarios found that Primobius will have
lower GWP to the equivalent manufacture of Primary Products via mined
extraction with downstream Chinese and Indonesian refining. This is primarily
due to reduced processing steps associated with targeting a feed source (i.e.
batteries) with intrinsically higher grade (>15%Ni/Co; ~2.5% Li) than mined
raw materials. By recycling LiBs locally, regional recycling reduces the high
carbon footprint associated with the logistics of the mined battery material
supply chain.

Figure 2 - Comparison of GWP impact for producing key materials in Primobius'
hydrometallurgical

product 'basket' versus those same refined chemicals that originated from
primary mined extraction.

Refining data for chemicals was derived using industry average operating
benchmarks.

Authorised on behalf of Neometals by Christopher Reed, Managing Director.

 

 

 

For more information, please contact:

 

 Neometals Ltd
 Chris Reed, Managing Director & Chief Executive Officer         +61 8 9322 1182
 Jeremy McManus, General Manager - IP & IR                       +61 8 9322 1182

 Cavendish Capital Markets Limited - NOMAD & Joint Broker
 Neil McDonald                                                  +44 (0)131 220 9771
 Peter Lynch                                                    +44 (0)131 220 9772
 Adam Rae                                                       +44 (0)131 220 9778

 RBC Capital Markets - Joint Broker                             +44 (0) 20 7653 4000
 Paul Betts
 Jamil Miah

 Camarco PR                                                     + 44(0) 20 3 757 4980
 Gordon Poole
 Emily Hall
 Lily Pettifar

 

About Neometals

Neometals has developed and is commercialising three environmentally-friendly
processing technologies that produce critical and strategic battery materials
at lowest quartile costs with minimal carbon footprint.

Through strong industry partnerships, Neometals is demonstrating the economic
and environmental benefits of sustainably producing lithium, nickel, cobalt
and vanadium from lithium-ion battery recycling and steel waste recovery. This
reduces the reliance on traditional mine-based supply chains and creating more
resilient, circular supply to support the energy transition.

The Company's three core business units are exploiting the technologies under
principal, joint venture and licensing business models:

 

·      Lithium-ion Battery ("LiB") Recycling (50% technology) -
Commercialisation via Primobius GmbH JV (NMT 50% equity). All plants built by
Primobius' co-owner (SMS group 50% equity), a 150-year-old German plant
builder. Providing recycling service as principal in Germany and commenced
plant supply and licensing activities as technology partner to Mercedes-Benz.
Primobius targeting first commercial 21,000 tpa plant offer to Canadian
company Stelco in the DecQ 2023;

·      Lithium Chemicals (70% technology) - Commercialising patented
ELi™ electrolysis process, co-owned 30% by Mineral Resources Ltd, to produce
battery quality lithium hydroxide from brine and/or hard-rock feedstocks at
lowest quartile operating costs. Co-funding Pilot Plant trials in 2023 with
planned Demonstration Plant trials and evaluation studies in 2024 for
potential 25,000tpa LiOH operation in Portugal under a 50:50 JV with related
entity to Bondalti, Portugal's largest chemical company; and

·      Vanadium Recovery (100% technology) - aiming to produce
high-purity vanadium pentoxide from processing of steelmaking by-product
("Slag") at lowest-quartile operating cost. Targeting partnerships with steel
makers and participants in the vanadium chemical value chain under a low risk
/ low capex technology licensing business model.

 

For further information visit www.neometals.com.au
(http://www.neometals.com.au/)

 

 

 1  For full details refer to Neometals ASX announcement headlined "Battery
Recycling 'Hub' Engineering Cost Study Results" released on 01 August 2023.

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