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Element 25 progresses battery precursor project

Manufacturing News

Manganese miner Element 25 has progressed its plans to construct a high-purity manganese sulphate (HPMSM) refinery in Louisiana USA to supply domestic HPMSM to the US electric vehicle battery industry.

Basic engineering packages for sections of the plant which will produce pre-cathode material via a proprietary hydrometallurgical process are being generated by equipment vendors and design development of the processing facility is continuing.

The project’s engineers have developed an initial project execution plan, procurement plan and other foundational elements for the project.

Supplied by Element 25’s Butcherbird development in the Pilbara, Western Australia, the planned facility will supply Stellantis N.V. and General Motors.

The two companies have pledged US$115M in financing to the project via equity, pre-payment and debt, with Element 25 running a programme to secure funding for the balance of construction costs.

Stellantis is funding ongoing works at the Louisiana facility while GM will utilise production for electric vehicle battery requirements in their Ultium battery plants.

Element 25 Managing Director Justin Brown said: “E25 aims to be a leading source of high quality, vertically integrated, traceable and ESG and IRA-compliant battery material to the global electric vehicle industry.

“Construction of our HPMSM facility in the USA – the first of its kind there – is a key pillar to the strategic plan which aims to position E25 as the industry leading provider of high quality ethically sourced battery-grade manganese to support global electrification efforts.”

Element 25 has applied for funding support under US grant programmes including the US government’s Advanced Technology Vehicles Loan Program and the Bipartisan Infrastructure Law: Battery Materials Processing and Battery Manufacturing Grants programmes.

Applications are in various stages of approval.

The company has already received a ‘substantial incentive package’ from the Louisiana state government valued at US $57 million.

The project is also eligible for the Inflation Reduction Act production tax credit for domestic manufacturing of critical minerals. This comprises a 10 percent credit on eligible operating costs.

Further reading:
Element 25 warms to pre cathode material production plant

Image: Element 25

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