Lithium Universe reveals plan to fill a 'gap' in the North American market

Lithium Universe (ASX: LU7) has unveiled its strategy for meeting a crucial demand for lithium among North American manufacturers, pointing to the progression of its Québec Lithium Processing Hub (QLPH) in Canada, which is set to produce mine-to-battery-grade lithium.

The QLPH comprises both a multi-purpose independent concentrator capable of handling one million tonnes per year and an independent battery-grade lithium carbonate refinery managing up to 16,000 tonnes per year.

Development of the hub has involved use of technology first utilised at Lithium Universe’s Jiangsu Lithium Carbonate facility in Western Australia, and last month the company announced that it was testing this through metallurgical work on various global sources of spodumene at the Canadian facility.

Canada is set to become one of the world’s top suppliers of battery materials, with BloombergNEF naming it the top country in its Global Lithium-Ion Battery Supply Chain Ranking. Lithium Universe highlighted developments at QLPH as being crucial to meet this demand, as well as through the ideas and achievements of the company’s ‘Lithium Dream Team’, whose work involved honing both hard rock lithium extraction and downstream conversion operations.

Strategic partnerships were also an important part of the Lithium Universe story, particularly with engineering consultant Hatch Ltd and Primero Group, with the former being responsible for building WA’s Jiangsu facility.

Lithium Universe Chairman, Iggy Tan said the company remain focused on solidifying its status within North America’s supply chain, despite headwinds which saw the metal’s price plunge last year.

“Despite prevailing lithium market dynamics, Lithium Universe remains committed to building through the lithium market cycle, solidifying its pivotal role within the growing
lithium supply chain in North America,” he said.

“Leveraging strong tailwinds from the geopolitical shift towards onshoring battery production, the emergence of James Bay as a key lithium jurisdiction, and our strategic approach to addressing the lithium conversion capacity gap, we stand in a favourable position.”

Lithium Universe is trading at 2c.

arrow-down-2 Created with Sketch. arrow-down-2 Created with Sketch.