It has been another positive day for the Neometals Ltd (ASX: NMT) share price.
In morning trade, the advanced materials company’s shares are up 11.5% to a 52-week high of 96.5 cents.
This means the Neometals share price is now up 230% since the start of the year.
Why is the Neometals share price surging higher today?
Investors have been bidding the Neometals share price higher today following the release of a briefing on its Lithium Battery Recycling project.
Within the briefing the company outlined its plans to address the emerging carbon shock of electric vehicles.
It notes that lithium and nickel are the largest contributors to CO2 emissions during the manufacturing of an electric vehicle. And while lithium brine is seen as the solution to the lithium part of the problem, it notes that nickel doesn’t have one. This comes at a time when new battery regulations are coming into place in the EU to ensure more sustainable batteries.
This is where Neometals comes in. Management believes it has a more environmentally sustainable nickel process. This is achieved through its proprietary recycling process. It also estimates that it could be the lowest cost nickel sulphate producer.
All in all, it hopes this will make it the recycler of choice for cellmakers and carmakers in the future.
Neometals’ Managing Director, Chris Reed, recently commented on its entry into the commercial European battery recycling landscape.
This followed the agreement with SMS to fast-track commercialisation of commercial lithium-ion battery recycling operations via the Primobius joint venture.
He commented: “We are excited to herald the entry of Primobius into the commercial European battery recycling landscape. The funding approval is an agile response by the JV shareholders to strong demand for the safe disposal of growing volumes of lithium-ion batteries arising from warranty returns and at end-of-life.”
“10tpd Shredding Plant 1 represents the maximum commitment we can make to meet demand having regard to regulatory permitting timeline constraints. As well as being a showcase for potential customers and partners, the facility will provide a valuable training ground for the operations team and will support continuous process improvement ahead of the next scale up to a 50tpd operation.”
“The scale and speed of the electrification of transport and renewable energy storage is phenomenal, the volumes and momentum of global investment funds available to support enablers of decarbonisation steel our resolve for Primobius to become the pre-eminent recycler in the western world,” he added.