Cornish Lithium Ltd has received an £18mln cash injection from TechMet Limited to help develop its lithium and battery metals operation in Cornwall.
The junior said it is the first investment it had received from a financial institution, while it will also be able to access TechMet’s deep knowledge of the battery metals supply chain and extensive commercial and strategic relationships.
TechMet has investments in technology metals projects all around the world and its funding will enable Cornish Lithium to fast-track development of its project portfolio, it added.
Funding will occur in two tranches of £9mln with the second to follow the delivery of a scoping study for the Trelavour hard rock project, which is scheduled for completion in the second quarter of 2022.
Cornish Lithium said the funding will allow it to build a beneficiation and hydrometallurgical demonstration plant to optimise the low carbon Lepidico processing technology.
More geothermal evaluation boreholes will be drilled and the possibility of heating and powering local industries in Cornwall also assessed.
Jeremy Wrathall, Cornish Lithium’s chief executive, said: “We are delighted to welcome such a prestigious investor to Cornish Lithium.
"TechMet’s support validates the extensive work we have completed in Cornwall since the company was founded in May 2016.
“Cornish Lithium has reached an inflexion point in the company’s development where larger-scale investment is required.
This funding underpins the Company’s ambitions in Cornwall as we seek to progress our projects towards construction and commercial production.
"TechMet has the financial capability to contribute additional capital if required and thus represents a strong, long-term partner for Cornish Lithium."
Brian Menell, chief executive and chairman of TechMet, added: “We have been extremely impressed by the innovative and talented Cornish Lithium team, which has made considerable progress over the past few years.
“This financing is an important step in advancing Cornish Lithium’s development programme.”