Green Technology Metals, an Australian lithium specialist, has secured an $8 million investment and framework agreement from South Korean electric vehicle (EV) battery metals producer EcoPro Innovation. This strategic partnership is focused on developing lithium extraction, processing, and conversion activities in Canada, including the establishment of a potential lithium conversion facility.
The collaboration between Green Technology and EcoPro has been ongoing for over a year, with both companies working closely to align their strategies. The partnership aims to position Green Technology as the first integrated lithium chemical supplier in Ontario, Canada. A joint application has already been submitted to Invest Ontario, seeking funding to support the proposed lithium conversion facility. This move comes in response to a request from the Ontario government earlier this year to secure business case approval and financial backing for the project.
Cameron Henry, managing director of Green Technology Metals, emphasized the significance of this partnership, highlighting EcoPro’s expertise and global experience in owning and operating successful lithium conversion facilities, as well as nickel precursor and cathode active material plants. “EcoPro stands out as a top-tier strategic partner, bringing invaluable experience in owning and operating successful lithium conversion facilities as well as nickel precursor and cathode active material facilities globally”, Henry said. He further noted that the financial and technical support provided by EcoPro will play a crucial role in advancing Green Technology’s integrated strategy in North America.
The $8 million investment from EcoPro will be delivered through a subscription agreement, with the South Korean company subscribing for Green Technology shares in two tranches. The funds will be used to conduct a definitive feasibility study for the Seymour lithium project, finance the pre-feasibility study for the lithium conversion facility, and support general working capital needs. In addition to the financial backing, EcoPro will have the exclusive right to negotiate binding agreements to acquire interests in Green Technology’s Root and Seymour projects.
EcoPro Innovation’s chief executive officer, Yoon Tae Kim, acknowledged that the company has been assessing the North American market for some time and has been in extensive discussions with Green Technology during this period. He expressed confidence in the strategic value of Green Technology’s assets, which are located in a region with a well-established supply chain and strong government support. “Our teams have dedicated significant effort to understanding GT1’s development strategy and recognise the strategic value of their assets, which are located in a prime location with a well-established end-to-end supply chain and ample government support”, Kim said. He added that EcoPro looks forward to strengthening its relationship with Green Technology and contributing to its ambition of becoming a major North American lithium chemical supplier.
EcoPro Innovation is recognized globally for its fully-established value chain for lithium cells, covering the development, manufacturing, and processing of lithium compounds. The company is expanding its operations, with planned production expected to grow from 180,000 tons of battery materials to 710,000 tons by 2028. EcoPro is currently constructing two plants in Hungary and Canada, both scheduled to be completed before the construction of the proposed lithium conversion facility in Canada. This new facility is expected to produce lithium hydroxide, further supporting North America’s growing demand for battery materials.