NEO Battery Materials Ltd said it has successfully completed the conceptual design of its semi-commercial plant facility and is now entering the initial engineering, procurement, and construction (EPC) stage for the construction of the facility in South Korea.
The Vancouver-based company told investors in July that management and engineers had initiated the conceptual design of the pilot plant in which the capacity was later upgraded to a semi-commercial scale. That followed positive internal results and the need for agile integration into the lithium-ion battery supply chain for electric vehicles (EV).
It noted that the conceptual design report has validated that an annual production rate of 120 tons of silicon anode materials is viable through its proprietary process.
READ: NEO Battery Materials says it has completed assessment of semi-commercial plant facility in South Korea
"We are extremely pleased to announce that the conceptual design of the semi-commercial plant has been completed over the course of three months through a fast-track effort by NEO's team,” CEO Spencer Huh said in a statement.
“NEO is now another step towards commercializing our silicon anode materials for EV lithium-ion batteries and is actively expediting our timelines and milestones,” he added.
As well as the completion of the basic engineering design data, the configuration and equipment of major production processes for NEO's one-pot nanocoating technology have been confirmed and finalized, the company said.
This has enabled it to determine the required raw materials and utility to accommodate the annual production of 120 tons. Guidelines for health, safety, and environment for the facility have been presented within the report, it added.
"The semi-commercial plant is of great significance as NEO's management and engineers have successfully designed the plant to enable both low-cost production of the silicon anode materials and flexibility of specification to satisfy the needs of various customers in the supply chain,” chief scientific advisor Dr Jong Hyeok Park said.
NEO said it expects the plant to be completed and commissioned by the end of 2022. The conceptual design of the facility was carried out in full consideration of scaling up to a full commercial plant. As the design follows a globally recognized international code, it said there will be no restriction or limitation for future commercial plants being built elsewhere such as in North America and Europe.
"Concerning the site selection of the semi-commercial facility, NEO is currently negotiating with two South Korean provincial governments to find the most suitable and economical option for construction,” Huh said.
“The company is considering the benefits provided to foreign-invested companies by the government and the proximity with South Korean battery manufacturers. The initial EPC stage can commence without conflicting with the site selection.”
NEO said it is also in the last stages of establishing a South Korean subsidiary, NEO Battery Materials Korea, aimed at improving the marketability of its proprietary silicon anode materials and business initiatives in the South Korean market.
NEO Battery Materials is a resource company focused on battery anode materials and technology development.
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