Centrex signs up for battery market opportunity

A partnership between North-West Queensland phosphate miner Centrex and Lithium Australia is paving the way for a new battery material manufacturing venture. Lithium Australia has developed proprietary technology to produce cathode powders, including lithium ferro phosphate (LFP) and lithium manganese ferro phosphate (LMFP). Centrex today announced it had signed an MOU with the company, providing the miner with a potential pathway to the LFP battery market via the supply of phosphoric acid from its Ardmore operation south of Mount Isa. The MOU envisages the construction of a demonstration plant of LFP or LMFP by Lithium Australia, potentially to be located in Queensland. Related: Value-add plans for Ardmore phosphate The proposed plant will have an estimated capacity of 250tpa of LFP or LMFP, requiring about 200-300tpa of phosphoric acid. Success there would spark the construction of a commercial plant with an estimated capacity of about 25,000tpa LFP or LMFP (requiring approximately 20,000 -25,000tpa of phosphoric acid). “We are excited to enter into this MOU with Lithium Australia, an Australian company that has developed significant know-how and expertise in the rapidly growing LFP battery market space," Centrex chief executive officer and managing director Robert Mencel said. "As China currently dominates the global battery supply chain, concerns about supply security have led to increasing investment being driven towards more reliable jurisdictions, such as Australia. "With Australia's significant lithium production base and the emerging global trend towards adopting LFP battery technology, the opportunity to establish an LFP battery operation in Australia is substantial. "The Australian Government's recent decision to include phosphorous on its Strategic Minerals List also underscores the emerging opportunity for a domestic LFP battery operation." Mr Mencel said the Ardmore phosphate mine provided significant potential to capitalise on several lucrative market verticals due to its high-grade phosphorous and low-impurity content. Related: Strong progress for Ardmore expansion works "With respect to producing high-quality and low impurity phosphoric acid suitable for the LFP market vertical, we believe Ardmore has a substantial competitive advantage relative to its peers both domestically and globally," he said. "We look forward to collaborating with Lithium Australia and our other partners on this exciting opportunity.” Lithium Australia chief executive officer and managing director Simon Linge said the MOU with Centrex highlighted the company's commitment to building a battery supply chain domestically in Australia, which could provide global battery manufacturers an alternative supply source for LFP and LMFP. You may also like: https://industryqld.com.au/axon-to-advance-nq-battery-anode-material-plant

Centrex signs up for battery market opportunity

Industry Queensland

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