MOU signed to for battery cathode manufacturing plant
The Northern Territory Government has signed a memorandum of understanding (MoU) with Taiwanese company, Aleees and Perth-based Avenira Ltd, to develop and operate the Territory’s first battery cathode manufacturing plant in Darwin.
A significant economic and strategic opportunity for the Northern Territory, the plant will manufacture lithium iron phosphate (LFP) battery cathode material.
It’s estimated the project will initially create 100 jobs, growing up to 1,000 jobs and generating more than US$4 billion in revenue annually once scaled to full production.
The lithium cathode material is a critical active material used within an electric vehicle battery or energy storage battery which determines the capacity, safety and durability of the battery.
The MoU maps out how the Territory Government, Aleees and Avenira will work together to achieve final investment decision (FID) on a pilot facility, with FID anticipated early in 2023.
Government will also work proactively with Aleees Group, Avenira and its supply chain partners to identify a suitable site in Darwin for the facility.
Once operational, the pilot facility will manufacture up to 10,000 tonnes of lithium-iron phosphate battery cathode material per year.
The MoU further supports the development of up to 200,000 tonnes per annum manufacturing facility built in phases in Darwin over the next 10 years. The major facility will exclusively source phosphoric acid from the Wonarah Phosphate Project in the Barkly.