Nano One Materials Corp (TSX:NANO, OTC:NNOMF) announced that Japan’s Sumitomo Metal Mining Co Ltd has confirmed Nano One as a key technology partner as it advances its growth strategy for lithium iron phosphate (LFP) cathodes.
Nano One said results from development work and trials, economic modeling and IP review have been positive, thus giving Sumitomo Metal Mining a high degree of confidence in Nano One's proprietary One-Pot LFP technology.
"The combined experience and collaboration between Sumitomo Metal Mining and Nano One over the past two years has led us to this significant milestone in our partnership," Nano One Materials chief operating officer Alex Holmes said in a statement.
"We continue to execute successfully on our joint objectives, and we are confident our partnership will lead to future commercial production opportunities that will accelerate the adoption of LFP and global supply chain security."
Munekazu Kawata, general manager of the Battery Materials Division of Sumitomo Metal Mining, also commented, stating, "We are committed to investing in and offering cost-effective production of CAM to our customers while minimizing energy intensity, wastewater, and supply chain uncertainty, and this led us to Nano One as a key technology partner in achieving this objective."
"After much due diligence, we are convinced that its technology is a high-quality, cost-effective manufacturing solution, and we are working closely to expand our collaboration and marketing efforts to jointly address the global shift towards LFP chemistries in the lithium battery sector."
In September 2023, Sumitomo Metal Mining completed a C$16.9 million investment in Nano One and entered into a strategic collaboration agreement with the objective of commercializing Nano One's One-Pot technology.
Nano One added that the collaboration has been focused on LFP, including product evaluation, performance testing, economic scenario modeling, extensive intellectual property review, as well as process technology trials in Japan.
Shares of Nano One surged 11.8% in early trade on the news.
- Updated with share price movement -