Element 25 Ltd (ASX:E25) (FRA:QFP) (OTCMKTS:ELMTF) is making strong progress with the first stage of a planned multi-stage development at Butcherbird Manganese Project with the delivery on-track for next month.
The current work plan has dry commissioning scheduled for the first half of March 2021 followed by wet commissioning and first ore processing in the second half of the month.
As part of a multi-stage development strategy, the project will then be expanded to produce high purity manganese sulphate monohydrate (HPMSM) for electric vehicle (EV) batteries to power the global transition away from fossil fuel-powered mobility.
"Important first step"
Managing director Justin Brown said: “To deliver a mining project in such a short timeframe whilst maintaining a high level of safety and cost control is a fantastic achievement by the team.
“This is an important first step in the development of the project which can then be expanded into the battery metals markets.”
Manganese is looming as an increasingly important ingredient for EV batteries, with potential supply constraints looming for nickel and cobalt forcing battery manufacturers to look at high manganese cathodes to produce the vast amount of cathode material needed by the EV industry in coming years.
The project is ideally placed to feed this demand, with advanced flowsheet development work in 2019 and 2020 confirming a simple, unique, ambient temperature and atmospheric pressure leach process for the E25 ores.
When combined with offsets, these ores will target the world’s first Zero Carbon ManganeseTM for EV cathode manufacture.
Shares have been as much as 4 per cent higher in early trade to A$1.665 while E25's market cap sits at approximately $204.9 million.