The Lithium Australia NL (ASX: LIT) share price is shooting straight for the moon – in an environmentally friendly way, of course.
The positive price movement comes as the company announces one of its subsidiaries is expanding its battery manufacturing capabilities.
At the time of writing, shares in the lithium technology company are trading for 12.5 cents – up 8.7%.
Let's take a closer look at today's news.
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The Lithium Australia share price is blasting off
In a statement to the ASX, Lithium Australia says its subsidiary, VSPC Ltd, a developer and manufacturer of advanced cathode materials for lithium-ion batteries (LIBs), is now also producing commercial-quality lithium titanium oxide (LTO) anode powder.
Conventionally, LTO is prepared via a solid-state reaction, with titanium dioxide and lithium carbonate or lithium hydroxide as the raw materials. The materials are heated at temperatures above 800C for 12 to 24 hours to ensure high-phase purity. An LTO battery is more advantageous than other lithium-ion batteries because it is faster to charge than traditional batteries.
This news is clearly revving the engines of investors, at least judging by the rising Lithium Australia share price.
As well, Lithium Australia announced it will expand its research into other anode battery materials, including titanium niobium oxide and other niobium-based anode materials. These are often used in space and defence applications. VSPC is now developing an anode materials work program in conjunction with other organisations.
Management commentary
Adrian Griffin, Lithium Australia managing director, said
To achieve the performance desired for next-generation LIBs, improved anodes are also required. VSPC's patented technologies are applicable to the production of both anode and cathode materials. Currently, VSPC produces the world's highest performing LFP cathode powder and is among only a handful of companies capable of producing high-energy-density LMFP [lithium manganese ferro phosphate].
Market demand for advanced nickel and cobalt-free batteries puts VSPC in a unique position to deliver precursors that meet more exacting performance requirements. VSPC's successful production of high-performance LTO is an Australian first, as well as a global necessity.
Lithium Australia share price snapshot
Over the past 12 months, the Lithium Australia share price has increased 150%. Year-to-date, shares in the company are up 108%.
Its 52-week high is 21 cents per share and its 52-week low is 4.8 cents per share. Lithium Australia has a market capitalisation of approximately $125 million.
