NoviqTech and Livium launch digital battery recycling initiative with tokenised ESG benefits

NoviqTech (ASX: NVQ) and Livium (ASX: LIT) have launched a project to support the tokenisation of environmental benefits from Livium’s advanced battery recycling operations using NoviqTech’s Carbon Central platform.

The collaboration represents a pioneering approach to battery recycling and aims to establish a new digital framework for tracking and verifying carbon reductions and mineral circularity.

It will promote the digital tracking and validation of emissions reductions by recycling and reusing existing battery materials in place of mining new resources.

Digital Twin technology

The initiative will employ NoviqTech’s Digital Twin technology to model Livium’s battery recycling processes, integrating real-time data from operational systems and supporting transparent carbon accounting.

By creating a digital replica of Livium’s operations, the platform will automate key sustainability reports covering factors such as emissions reductions and generate digital certification aligned with global battery standards.

To ensure the credibility, immutability and traceability of each environmental asset generated, Hedera’s distributed ledger will power the tokenisation.

Livium will utilise the basic tier pricing of $1,000 per month until the tokenisation is operational, at which point NoviqTech will charge on a per token basis until the parties agree upon a final fee scheme.

Recycling processes

Livium’s recycling process recovers critical minerals such as lithium, nickel and cobalt from end-of-life batteries, significantly reducing the need for virgin extraction and associated carbon emissions.

By enabling accurate tracking of mineral recovery and emissions via Carbon Central, Livium and NoviqTech will generate tokenised environmental attributes and support evolving global compliance regulations on battery traceability and carbon emissions reporting.

Livium expects the project to help meet its evolving regulatory, customer and investor expectations for transparency in ESG performance, particularly in critical minerals management and end-of-life battery recovery.

It comes at a critical time for the company as it consolidates its current operations onto a larger site ahead of a national expansion in response to anticipated growth in demand for sustainable and traceable battery supply chains.

Environmental benefits

NoviqTech chief executive officer Freddy El Turk said Carbon Central would be key to quantifying and monetising the environmental benefits of battery recycling.

“We are laying the groundwork for a future where circularity and emissions reductions can be monetised and verified at scale,” he said.

“This collaboration supports Livium’s broader ambition to lead in the sustainable supply of critical minerals through closed-loop systems and is a major step forward in supporting the battery supply chain’s transition to a circular and low-emissions model.”