Lithium Economic and Market Feasibility

Imerys British Lithium Limited (IBL) proposes development of the world's first integrated quarrying, beneficiation, and lithium refinery in Cornwall, targeting the production of 20,800 tpa of battery-grade lithium carbonate for at least 30-years. The project uses technologies developed by British Lithium to extract high-purity lithium from micaceous granite (polylithionite), which has never been done commercially.

The Feasibility Study will now validate the economic feasibility, marketing and business plan for large-scale lithium production in the UK, using IBL's highly sustainable, novel extraction process, while maximising the recycling of process wastes. An independent environmental benchmarking study showed the IBL lithium project would have amongst the world's lowest carbon emissions and water consumption.

Almost all hard-rock lithium is currently produced by chemical froth flotation of a spodumene concentrate and a two-stage acidic roast with low overall recoveries, high cost and environmental impact unlikely to be acceptable in Europe. IBL's patented "electrostatic" process concentrates the lithium-mica with high recovery, low energy input and without using chemicals.

A single medium-temperature calcine neutral pH water leach, and hydrometallurgical purification extracts battery-grade lithium from the mica concentrate.

IBL built a lithium pilot plant in Cornwall in 2021 which demonstrated IBL's end-to-end process from mined ore to battery-grade lithium carbonate, producing 99.9% Li2CO3\. Extensive further work has optimised and validated the metallurgical process accelerating the path to feasibility studies, customer engagement, financing, and full-scale development.

The project prioritises expansion to full-scale production of a critical mineral used to fabricate cathode materials for lithium battery cells and EVs, essential for the large-scale industrialisation of a high-value domestic automotive supply chain, geared towards achieving net zero emissions. The full-scale development is expected to meet one-third of projected UK EV requirements by 2030\.

The full-scale development costing over £500 million, will create 900 jobs during construction, and 300-350 direct full-time jobs.

No battery-grade lithium is produced in Europe, and the supply of cathode active material (CAM), cells, batteries and EVs is dominated by Asia. Local, secure, ethical and sustainable domestic lithium supply will give the UK an advantage within Europe, helping attract strategic investment in the domestic Electric Vehicle supply chain.

EVs with batteries containing UK-sourced lithium have the competitive advantage of tariff-free sale into EU, but so too, they would have a price advantage over EU-made cars sold in the UK, not meeting Rules of Origin (RoO) due to imported lithium and higher embedded carbon from longer supply chains.