Global Battery Metal Supplies Are Expensive To Mine And Shrinking, And Recycling Is More Important Than Ever – One Company Is Ahead Of The Curve

Lithium-ion batteries are everywhere. From electric vehicles (EVs) to electronics, the demand for lithium-ion batteries is high and not going anywhere, anytime soon. Lithium-based batteries hold more energy in less space than their predecessors, lead-acid batteries. Because of this, global lithium consumption has increased by 33% since 2020. 

The majority of Lithium today is mined from what is globally known as the “Lithium Triangle”, a junction of Argentina, Chile, and Bolivia. The Lithium Triangle makes up more than 58% of the world’s supply. According to a new study by the Natural Resources Defense Council, global lithium demand is expected to increase sixfold by 2030 and the majority of the demand is coming from carmakers.

Not only is demand increasing, but lithium isn’t cheap. Lithium is roughly 7x more expensive than lead and almost none of it gets recycled. A 2022 study found that less than 1% of lithium-ion batteries get recycled in the U.S. and EU. And beyond economics, lithium extraction has a high environmental cost. 

Recycling the raw materials needed for lithium-ion batteries is an obvious solution to both the economic and environmental problems associated with raw material extraction. A recent report by McKinsey predicts that at least 120 to 150 new battery factories will need to be built between now and 2030 globally to help meet the expected demand. Furthermore, the report puts an emphasis on upcycled and recycled batteries to help meet demand due to finite mining resources. 

There is a precedent for the success of battery recycling; approximately 99% of lead-acid batteries commonly used in power grids and gas vehicles are recycled. The major barrier to recycling lithium-ion batteries is the wide variety of batteries on the market – Lithium-ion batteries come in many different sizes and the technology has rapidly evolved in recent years making it difficult to commercialize. Few recyclers have seen success. 

RecycLiCo’s Technology Is Witnessing Up To 100% Extraction Rates

RecycLiCo Battery Materials Inc. AMYZF is one of the companies pioneering recycling-upcycling technology. RecycLiCo is a battery materials company focused on recycling and upcycling lithium-ion batteries. It has created a patented, closed-loop hydrometallurgical process that has a lower environmental impact compared to competitors that have complex processing and purification steps that result in extensive liquid and waste production.

RecycLiCo’s leading technology has achieved up to 100% extraction of lithium, nickel, manganese and cobalt from lithium-ion production scrap. Production scrap is the primary source of recyclable materials and it is projected that battery scrap will account for 78% of recyclable materials in 2025.  

“I’m thrilled with the limits we have been able to push during this pivotal step of our demonstration plant project as it is core to our patented process and a limiting factor that defines the commercial design capacity,” commented Zarko Meseldzija, CTO and Director of RecycLiCo Battery Materials. “The demonstration plant’s growing number of achievements provides reliable technical data for third-party due diligence and checks many boxes regarding efficiency, capacity, and practicality that engages discussions regarding bespoke commercialization plans and influences successful commercial partnerships.”

As RecycLiCo’s technology evolves, the company will be able to commercialize this process and increase the number of recycled lithium-ion batteries on the market. The company is working to make this a reality and recently signed an agreement with Sonid Inc, a Korean electronics manufacturer. The agreement represents steps toward a potential commercial joint venture or technology licensing agreement. Both companies are hoping to join forces to establish a lithium-ion battery recycling facility to advance RecycLiCo’s patented technology.

As the demand for lithium-ion batteries continues to grow, access to recycled batteries will become imperative in the coming years for both economic and environmental reasons. RecycLiCo is on its way to becoming a defining player and innovator in the market. 

This post contains sponsored advertising content. This content is for informational purposes only and is not intended to be investing advice.

Featured Photo by Dion Beetson on Unsplash