Lithium Universe development plans take off with Hatch appointment

Recently re-listed Canadian battery metals explorer Lithium Universe (ASX: LU7) has highlighted its capacity to move rapidly into development mode with the signing of an agreement with leading international engineering firm Hatch.

A renowned specialist on the lithium processing front, Hatch has been signed up to undertake an engineering study for the design of a multi-purpose battery-grade lithium carbonate refinery, which will form part of Lithium Universe’s Québec Lithium Processing Hub (QLPH) strategy.

Lithium Universe chairman, Iggy Tan, said the Hatch appointment confirms the company’s focus on establishing a major lithium mining and processing hub in Québec and a vertically integrated mine to battery grade lithium carbonate processing hub strategy.

Experienced team regroups

The Lithium Universe chair said the company has pulled together an experienced team of lithium experts to assist in the execution of this strategy, with Mr Tan and globally recognised lithium expert Dr Jingyuan Liu having previously worked with Hatch on the design, construction and commissioning of the world-scale Jiangsu lithium carbonate plant in China.

“We welcome the opportunity to work with Hatch once again. We have got the same team back together and their role is to replicate the success of their previous experience at the Jiangsu lithium carbonate refinery,” Mr Tan said.

“Today that plant is considered to be a global benchmark for lithium refineries and is renowned for producing the highest-quality battery-grade lithium carbonate worldwide. With this remarkable expertise and experience, Lithium Universe considers that it can replicate the same level of success in Québec, Canada.”

Engineering study outline

The initial phase of the engineering study will look to identify the most suitable location for the lithium refinery.

Hatch has already assigned a study team of industry-recognised experts from its Brisbane, Perth and Montreal offices to undertake this work. They will report to Dr Liu and John Loxton, head of the lithium carbonate refinery and a project manager with over 45 years of experience across a diverse range of large scale projects.

The Hatch engineering study will also look to define the process and non-process infrastructure requirements for a 16,000 tonnes per annum lithium carbonate refinery, as well as the definitive estimated capital and operating costs.

The design will include the use of conventional kiln conversion of spodumene, sulphuric acid sulphation and leaching, impurity removal and final purification to battery-grade quality lithium carbonate, similar to that of the Jiangsu plant.

Focus on LFP battery market

Mr Tan said that following a significant assessment of the market, Lithium Universe had elected to focus on lithium carbonate rather than lithium hydroxide due to its widespread use in the fast-growing global development of lithium iron phosphate (LFP) batteries.

“LFP batteries are increasingly used in EV applications due to their lower costs, longer shelf life, and superior stability compared with lithium hydroxide. In addition, the team at Lithium Universe possesses a wealth of knowledge and expertise in lithium carbonate processing, making it a preferred and well-known process for their operations,” he said.

Wood Mackenzie recently forecast that global LFP cathode production will increase by 42% year-on-year to 685 kilotons in 2023 and see steady growth at a compound annual growth rate (CAGR) of approximately 13.8% per year for the next 10 years.

On the ground in Canada

Members of Lithium Universe’s “dream team” recently commenced on-the-ground investigations at the company’s Apollo project in James Bay, Quebec.

The company has already introduced artificial intelligence (AI) technology as part of its exploration plans of the large 240 sq km land holding and is working with KorrAI Technologies to integrate AI and satellite data.

The company is matching the AI expertise with data gathered from a recently completed, high-resolution airborne magnetic survey, flown over Apollo. The survey was designed to gather new information to better understand the property’s structural framework and identify rocks that could host LCT pegmatites.

The company has also completed a successful ground-based micro-gravity survey and a soil sampling program in the north-west portion of Apollo.

Apollo is located less than 30km south-east of Patriot Battery Metals’ (ASX: PMT) world-class Corvette lithium project and close to Winsome Resources’ (ASX: WR1) promising Adina Project, Apollo sits in one of the premier lithium plays in North America.

Historic exploration at Apollo has already identified 17 pegmatite outcrops in the tenement package for the company to investigate.