Mangrove Lithium, a Canadian company specializing in lithium conversion, has secured $35 million in financing to build the first lithium refining plant in North America . The facility, located in Delta, British Columbia, seeks to strengthen the supply chain for critical battery materials in the region.
A key project in the current geopolitical context
Mangrove’s announcement comes at a time of uncertainty in the lithium industry as China considers export restrictions on its processing technology. With the new plant, North America will be able to reduce its dependence on foreign suppliers and strengthen its energy security.
According to Saad Dara, CEO of Mangrove Lithium, the initiative will contribute to the region’s energy independence and ensure the supply of battery-grade lithium amid a changing global environment.
Key financial support for lithium refining project
The financing was supported by a group of strategic investors, including Mitsubishi Corporation, Asahi Kasei Corporation, InBC Investment Corp., Orion Industrial Ventures and Export Development Canada. Funds previously associated with Mangrove, including Breakthrough Energy Ventures, BMW i Ventures and BDC Capital, also participated.
Jason Holt, Partner at Orion Industrial Ventures, highlighted the impact of Mangrove’s innovation in diversifying lithium supply and reducing production costs. In turn, Leah Nguyen, Investment Director at InBC, underlined the key role of this project in the energy transition .
Advanced technology and sustainability
The Mangrove plant will employ an innovative electrochemical process that eliminates harmful reagents and significantly reduces the carbon footprint of lithium refining, making it a more sustainable and efficient alternative to conventional methods.
Additionally, Mangrove’s technology enables the production of both lithium hydroxide and lithium carbonate in a single facility, offering flexibility to battery manufacturers who need to adapt to market fluctuations.
Impact on the battery industry
The refining plant is expected to be operational by the end of 2025 and its annual production will be sufficient to supply lithium to approximately 25,000 electric vehicles . This development represents a strategic step in the consolidation of the North American energy storage and sustainable mobility industry.
The financial and technological support to Mangrove Lithium reinforces its role as a leader in lithium refining and its contribution to the development of a more independent and sustainable battery supply chain.
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Source: Mangrove Lithium
Photo: Shutterstock
