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- Pilbara Minerals (PLS) and Calix (CXL) make FID to construct and operate a mid-stream demonstration plant at PLS’ Pilgangoora Operation in WA
- The project aims to reduce carbon emissions intensity in the hard-rock lithium supply chain by creating a high-purity lithium-rich chemical salt
- Lithium phosphate, or mid-stream product, is produced using Calix’s patented electric kiln technology
- The company’s estimated construction costs amount to $104.9 million
- PLS shares last traded at $4.87
Pilbara Minerals (PLS) and Calix (CXL) have made a final investment decision to construct and operate a mid-stream demonstration plant at PLS’ Pilgangoora Operation in Western Australia.
The project aims to demonstrate the potential to reduce carbon emissions intensity in the hard-rock lithium supply chain by creating a high-purity lithium-rich chemical salt.
Lithium phosphate, or mid-stream product, is produced using Calix’s patented electric kiln technology which can reduce hard-rock lithium processing carbon emission intensity if powered by renewable energy.
PLS reported that its market engagement with participants within the battery and chemicals supply chain has encouraged the pursuit of the product, confirming it has strong potential to improve lithium feedstock for the lithium chemicals industry.
“Following further studies and pilot test work, we are delighted to be taking the next step in our mid-stream strategy with the construction and operation of a mid-stream demonstration plant with our JV partner Calix,” PLS Managing Director and CEO Dale Henderson said.
“The mid-stream strategy has the potential to materially improve the battery materials supply chain for lithium through a reduction in carbon energy intensity, reduction in transport volumes and creating more value at the mine site.”
Life cycle studies commissioned by Pilbara Minerals calculated that when using 100 per cent renewable electricity for electric calcination, the carbon emissions intensity of spodumene calcination can be reduced by more than 90 per cent compared to coal.
When compared to the use of natural gas, carbon emissions are reduced by more than 80 per cent.
The company’s estimated construction costs amount to $104.9 million, and will be partially funded from a $20 million Australian Government grant.
PLS shares last traded at $4.87.
