Element 25 achieves important HPMSM feasibility milestone with General Motors

  • Monday, September 18, 2023
  • Source:ferro-alloys.com

  • Keywords:Ferroalloy, Vanadium, Molybdenum, Tungsten, Manganese Ore, Chrome Ore,Iron Ore
[Fellow]Element 25 achieves important HPMSM feasibility milestone with General Motors

[Ferro-Alloys.com]  General Motors LLC (GM) has completed due diligence and accepted Element 25 Ltd (ASX:E25)’s feasibility study as a condition of the definitive agreement announced between the companies on June 26, 2023.

Under the agreement, E25 will supply battery-grade high-purity manganese sulphate (HPMSM) to support the motor giant’s electric vehicle (EV) battery requirements.

E25 will supply GM with up to 32,500 tonnes of manganese annually, as GM looks to increase annual North American EV production beyond one million units.

To get the job done, GM will provide E25 with a US$85 million (A$128 million) loan towards the construction of its HPMSM processing facility in the US, which will process manganese concentrate from the ASX lister’s Butcherbird mine in Western Australia.

“GM’s acceptance of the HPMSM Feasibility Study is an important milestone for the project and for our project financing activities for the proposed Louisiana facility. It is a key step in our journey to becoming a key supplier to the battery raw material supply chain servicing US electric vehicle markets,” Element 25 MD Justin Brown said.

Conditions remain for the completion of the agreement to occur, which include finalising product validation, securing the balance of the required project financing, completing project permitting and execution of the contracts in relation to the preferred plant site in Louisiana, USA.

The E25 process

Element 25 has unveiled an advanced processing flowsheet designed to convert Butcherbird manganese concentrate into high-purity manganese sulphate monohydrate (HPMSM), a key component for lithium-ion batteries. The proprietary technology aims to set a global standard for low carbon intensity HPMSM production, while facilitating an ethical and transparent supply chain for the US market.

The company’s innovative flowsheet significantly curtails energy usage and virtually eliminates waste, resulting in the production of HPMSM with the lowest carbon footprint globally, based on publicly available information. This environmentally conscious approach also creates an ethical, traceable, and transparent supply chain specifically tailored for the United States market.

E25 is taking its technology to Louisiana, where it plans to develop a first-of-its-kind processing facility.

This plant is projected to produce up to 135,000 tonnes per annum of HPMSM, targeting the growing electric vehicle (EV) supply chain in the US.

About Element 25

E25 produces a high silica manganese oxide ore from the 100%-owned Butcherbird Mine. The ore is mined with a core focus on ESG. Mining extracts material above the water table to minimise environmental impact and processing uses water only to wash the ore and remove clays and other impurities. The concentrate is exported to international customers for processing into silicomanganese alloys.

The company is building a processing facility to convert the Butcherbird concentrate using Element 25's proprietary technology into high quality, low carbon, ethically sourced battery-grade high purity manganese sulfate monohydrate (HPMSM), a critical raw material used in the manufacturing of electric vehicle (EV) lithium-ion batteries.

As the EV industry makes the expected shift to higher manganese cathode content to meet volume and cost requirements the demand for HPMSM is expected to rise. Element 25's very large resource base, long mine life and innovative, low-carbon processing technology will place it in an industry-leading position to capture significant market share in an expanding industry.Source:Element 25  18 Sep 2023

  • [Editor:tianyawei]

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