- Battery recycler Envirostream has signed an offtake deal with Korean company SungEel Hitech to ship off its collected metal scraps
- Listed company Lithium Australia increased its interest in Envirostream last month to 24 per cent, claiming its the only company in the country with the skills to effectively shred, collect, and recycle lithium-ion batteries
- Shredded metals from the batteries, referred to as mixed metal dust, hold cobalt, nickel, and lithium that can be reused
- Envirostream says the partnership will kick off this month, and will send the recycled materials from its Melbourne facility
- Shares in Lithium Australia have seen solid uptake today, trading for 3.8 cents per share after an 11.8 per cent upgrade
A company operating under battery maker Lithium Australia will be supplying recycled materials to a Korean company.
The subsidiary which Lithium Australia owns 24 per cent in, Envirostream Australia, signed a memorandum of understanding with Korean company SungEel Hitech this morning.
Envirostream will exclusively supply its metals from recycled lithium-ion batteries (LIBs) to SungEel.
"Lithium Australia is working with Envirostream to roll out the latter's Australia wide collection network and expand its shredding and separation capacities as rapidly as possible," Lithium Australia Managing Director Adrian Griffin said today.
The scrap metals produced from Envirostream's shredding and recycling are known as 'mixed metal dust' (MMD).
"The [deal] with SungEel provides for immediate refining of the MMD that Envirostream produces," Adrian continued.
"It is expected that Envirostream's next MMD shipment to SungEel will take place this month," he said.
Lithium Australia claims Envirostream is the only company in the country with the skills to shred, sort, and collect used LIBs. This faith in the company from Lithium Australia prompted it to expand its interest to 24 per cent earlier in October.
"Expanding Envirostream’s processing capacity to keep spent LIBs from landfill and export the energy metals they contain is an Australian imperative," Andrew Griffin said.
"Closing the loop on the production of battery materials reduces the environmental footprint of the mining and processing aspects inherent in LIB production, improves sustainability and prevents the components of spent LIBs from leaking into groundwater and oceans as a consequence of their relegation to landfill or transport to other jurisdictions," he added.
The MMD produced from the used batteries will be valuable in sourcing cobalt, nickel, and lithium as well as keeping them away from the ocean — representing a green effort for the Australian economy.
The used batteries will be provided to SungEel from Envirostream's recycling plant in Melbourne.
"Together, Lithium Australia, Envirostream and SungEel can provide an immediate and viable solution to the LIB disposal crisis in this country," Andrew concluded today.
Shares in Lithium Australia have seen solid uptake today, trading for 3.8 cents per share after an 11.8 per cent upgrade.