The Australian Renewable Energy Agency (ARENA) has today committed $30 million in conditional funding to VSPC Pty Ltd (VSPC) for its project, which seeks to commercialise a new process for manufacturing cathode powder for lithium-ion batteries. VSPC is a wholly owned subsidiary of Livium Ltd (ASX: LIT). The project will involve VSPC constructing a new 250 tonne per annum demonstration facility, likely to be constructed near VSPC's existing Brisbane facilities.
Through this project, VSPC will provide cathode powder samples to potential offtake partners and investors with the aim of locking in its major customers for a future commercial plant. The project will lead to advancements in cathode powder manufacturing and create significant benefits for lithium-ion battery production. Expected benefits include cost reductions, quality improvements, reduced waste and the diversification of global battery supply chains.
VSPC's new process combines the advantages of solid-state and solution-phase synthesis methods, to produce high-performance lithium ferro phosphate (LFP) and lithium manganese ferro phosphate (LMFP) powders with greater control of product characteristics and quality. This makes the process flexible for use in different battery cell technologies.
ARENA CEO Darren Miller said the critical role batteries will play in the clean energy transition, mean that any innovations to make them more effective, cheaper and cleaner should be supported.
"This project represents a potential breakthrough in cathode powder technology. If the project is successful, it could help catalyse competitive manufacturing of cathode powders and help diversify supply chains"
"As global demand for energy storage rises, domestic advancements in cathode powder could position Australia as a leader in advanced battery manufacturing, giving us opportunities to contribute to global supply chains and create new economic opportunities in renewable energy innovations", said Mr Miller.
Livium Managing Director and CEO Simon Linge said the project seeks to unlock a patented technology and advance diversified LFP supply chains, which will ultimately seek to increase access to high-quality, cathode materials.
"The grant from ARENA represents a significant step forward for our battery materials commercialisation. This grant, which follows an extensive process, is expected to facilitate further strategic private capital to complete funding for the project.
We are thankful to ARENA for their support", said Mr Linge.
