Canadian company Mangrove Lithium has secured a $35m (C$50.61m) investment for the construction of a lithium refining plant in Delta, British Columbia (BC).
The project is said to be the “first electrochemical lithium refining facility” in North America. It will play a significant role in strengthening the lithium supply chain and enhancing regional energy security, the company claims.
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The facility is expected to be operational by late 2025. It will produce battery-grade materials sufficient to power an estimated 25,000 electric vehicles annually.
The development of the plant is particularly timely, given China’s proposed export ban on lithium processing technology.
Mangrove Lithium CEO Saad Dara said: “Establishing North America’s first electrochemical lithium refining facility marks a key milestone in securing the continent’s battery supply chain. Our Delta plant will help meet the growing demand for battery-grade lithium while enhancing energy independence amid rising geopolitical uncertainties.
“We are also excited by the diverse syndicate financial investors, government funds and strategic investors from mining and technology development that have joined Mangrove on this journey. This validates Mangrove’s technology, plan and position as a market leader in this space.”
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By GlobalDataThe strategic investment round drew contributions from new stakeholders such as Mitsubishi Corporation, Asahi Kasei Corporation, InBC Investment, Orion Industrial Ventures and Export Development Canada.
Mangrove’s existing investors including Breakthrough Energy Ventures, BMW i Ventures and BDC Capital also participated in the funding round.
Orion Industrial Ventures partner Jason Holt said: “Lithium is essential to the energy transition, and Mangrove’s technology is a game-changer in diversifying the supply chain for battery-grade lithium with strong economics and minimal environmental impact.
“We are excited to support Saad and his team, leveraging Orion’s resources to establish Mangrove as a leader in lithium refining.”
Mangrove’s facility leverages its “breakthrough” electrochemical process that is both cost-effective and environmentally sustainable.
By removing harmful reagents and minimising waste, the company can reduce production costs and the carbon footprint associated with the production of battery-grade lithium.
The flexibility of Mangrove’s platform is another key feature, allowing the production of both lithium hydroxide and lithium carbonate within a single system.
This versatility ensures that customers can swiftly adapt to changing market demands and shifts in battery chemistry preferences.
InBC chief investment officer Leah Nguyen said: “Sustainable critical minerals are essential to the global energy transition and the growing demand for lithium isn’t slowing down, with electric vehicles, energy storage and electronics all relying on it.
“We are proud to back Mangrove Lithium’s scale-up in British Columbia, fostering innovation and growth in clean energy and representing BC’s climate leadership.”
