Livium Ltd (ASX:LIT), formerly known as Lithium Australia Limited, is an Australian company focused on advancing the global transition to sustainable electrification by operating within the lithium-ion circular battery materials industry. The company is a leader in battery recycling through its subsidiary, Envirostream, which manages end-of-life batteries to recover valuable materials and reduce landfill waste. Livium has developed patented lithium extraction technology, LieNA®, that converts overlooked lithium waste or low-grade lithium materials into high-quality lithium chemicals, enhancing sustainable lithium production.
What is the LieNA?
The LieNA® technology, developed by Livium Ltd, is a patented lithium extraction process designed to improve the efficiency and sustainability of lithium production. It focuses on utilising lithium-bearing waste or low-grade materials often overlooked in traditional extraction methods, converting them into high-quality lithium chemicals.
The primary product of the LieNA® process is high-purity lithium phosphate, with ongoing evaluations exploring its potential to produce battery-grade lithium carbonate—an essential component in lithium-ion battery manufacturing. Significant milestones in the development of LieNA® include the successful operation of a pilot plant, the refinement of high-quality lithium phosphate, and the completion of a demonstration plant engineering study.
Livium, in collaboration with Mineral Resources Ltd, is optimising the commercialisation pathway for LieNA®, assessing alternative applications and identifying the most suitable lithium product for large-scale production. The technology offers substantial environmental and economic benefits, such as reducing waste by processing materials that would otherwise be discarded, creating cost-effective pathways for lithium chemical production, and enhancing the sustainability of the lithium supply chain.
Stage 1A to being commencing
Stage 1A represents the next step in the commercialisation pathway for the LieNA® technology. It includes additional activities aimed at optimising the technology’s development, such as assessing alternative commercialisation pathways and selecting the preferred lithium product for large-scale production.
This may involve exploring the production of battery-grade lithium carbonate, which is crucial for the manufacturing of lithium-ion batteries. The Stage 1A activities will be fully funded through the remaining balance of Mineral Resources’ convertible note and the LieNA® R&D tax incentive rebates.
Lithium production set to boost following development of LieNA
The development of the LieNA® technology is poised to significantly impact lithium production by offering a more efficient and sustainable extraction process. This technology enables the conversion of low-grade lithium materials and waste into high-quality lithium chemicals, such as lithium phosphate and potentially battery-grade lithium carbonate.
This approach addresses inefficiencies in traditional lithium extraction methods, reduces environmental impact, and helps meet the growing global demand for lithium, particularly in the electric vehicle (EV) and renewable energy sectors.
Lithium market is experiencing tight conditions
Currently, the lithium market is experiencing tight conditions, with increasing demand driven by the rise of electric vehicles and energy storage systems. Global lithium demand is forecast to grow more than 50% between 2023 and 2025, surpassing one million metric tons.
However, in 2024, lithium prices remained low due to oversupply and weak demand, with lithium carbonate prices contracting by 22% between January and December. This oversupply has led to mine closures worldwide, and the global lithium surplus is expected to reduce by half, reaching approximately 80,000 tons of lithium carbonate equivalent by 2025. These market dynamics underscore the need for innovative and sustainable extraction methods, such as LieNA®, to address.
Partnership with Mineral Resources eases development for LieNA
Mineral Resources Ltd (MinRes) is involved in the development and commercialisation of the LieNA® technology due to its strategic alignment with its core operations and expertise in the mining and resources sector. As one of Australia’s leading mining companies with a significant presence in the lithium industry, MinRes sees great potential in partnering with Livium to enhance its position in the growing lithium market, which is essential for energy storage and electric vehicle (EV) battery production.
The LieNA® technology offers MinRes a more efficient and sustainable method of lithium extraction, complementing its existing operations and providing access to previously untapped or underutilised lithium resources.
MinRes’ involvement also provides critical financial support for the development of the LieNA® technology. The additional Stage 1A activities required for commercialisation will be fully funded through the remaining balance of MinRes’ convertible note and LieNA® R&D tax incentive rebates, ensuring the continued progress of the project without dilutionary impacts for shareholders.
With the global lithium market experiencing tight conditions and expected to grow significantly due to the rise in EV adoption and energy storage needs, MinRes stands to benefit from advancing its lithium production capabilities through technologies like LieNA®. This partnership allows MinRes to optimise and scale its lithium production while staying competitive in the rapidly expanding market.