Marking a key milestone in the collaborative development of its patented LieNA® technology, Livium Ltd (ASX:LIT, OTC:LMMFF) has completed activities under a joint development agreement (JDA) with Mineral Resources Ltd (ASX:MIN) under budget.
These activities include the development and operation of a pilot plant, the successful refinement of high-quality lithium phosphate and completion of a demonstration plant engineering study.
Livium and MinRes are now discussing the outcomes from these activities, including defining the next steps for the LieNA® commercialisation pathway under the agreement, which the parties aim to finalise by the end of January.
Deepens partnership
“We are pleased with the results of the completed activities under the JDA which have provided positive and valuable insights into the LieNA® technology including the potential for a new commercialisation pathway,” Livium CEO and managing director Simon Linge said.
“Completion of these activities deepens our partnership with MinRes and we look forward to advancing this innovative technology towards commercialisation, delivering significant benefits to the hard rock lithium sector. We look forward to providing the outcomes of our discussions in the new year."
LieNA® joint development agreement
Livium’s patented LieNA® extraction technology enhances lithium recovery from fine and low-grade spodumene waste, potentially increasing yields by up to 50%.
Under the JDA, MinRes has solely funded the A$4.5 million development of a pilot plant and engineering study for a demonstration plant through a convertible note. MinRes provided raw materials at no cost while Livium contributed its LieNA® technology and managed production processes and studies.
If MinRes converts the note into equity, a joint venture will be formed, with equal ownership (50/50) of LieNA Pty Ltd, which holds the LieNA® technology.
The JV plans to license LieNA® technology to third parties at a target 8% gross product royalty rate, enabling Livium to benefit from all tonnage processed using LieNA®.
Upon successful completion of JDA activities, MinRes can independently fund, develop and operate a semi-commercial plant under a discounted licence, recognising MinRes’ first-mover advantage.
The plant will scale lithium extraction to commercial levels, applying the licence to MinRes’ current and future projects.