Wed, Nov 17, 2021 7:01 AM
VANCOUVER, British Columbia--(BUSINESS WIRE)--Nov 17, 2021--
Mangrove Lithium announced today it has closed a $10 million USD Series A investment round led by Breakthrough Energy Ventures (BEV) with participation from existing investor BDC Capital’s Cleantech Practice (BDC). The company will use the investment to build its first operational, commercial-scale plant with the intention of expanding lithium refining capacity in the Western Hemisphere.
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Figure 1 - Benchmark Mineral Intelligence (Graphic: Business Wire)
Benchmark Mineral Intelligence forecasts a global supply gap of 4.3 million tons of lithium carbonate and lithium hydroxide by 2040. The supply of high-purity, battery grade lithium will be critical to the rapid adoption of electric vehicles (EV). A shortage could keep millions of EVs from being built. (See Figure 1)
Mangrove has developed a feedstock-flexible, modular platform to produce battery-grade lithium hydroxide and lithium carbonate. It does so cost-effectively by using brines, hard-rock, clays, and battery recycling streams to address this supply gap.
“A sufficient supply of high-purity lithium is critical if the world is going to reach over 70% EV penetration by 2040. There is a strong risk of this ambition being derailed if the emerging supply deficit is not addressed today,” said Mangrove CEO Saad Dara.
The company’s technology unlocks new assets and turns resources into reserves by enabling greater project bankability. Mangrove’s initial focus is on the lithium brines that represent 60% of global deposits. Mangrove’s innovation eliminates complex steps in the conventional refining processes for lithium brines. In addition to eliminating CapEx traditionally associated with conventional refining methods, Mangrove’s technology has the potential to reduce OpEx by as much as 40% in lithium hydroxide production from brines.
“Transitioning to EVs is a critical step in reducing global greenhouse gas emissions. Mangrove’s technology solves a huge constraint in electrifying the world’s vehicle fleet by enabling the lowest-cost, highest-purity lithium hydroxide – at a scale of hundreds of millions of vehicles – and can be applied throughout the supply chain,” said Carmichael Roberts, Breakthrough Energy Ventures.
BDC’s Vivian Kan added that, “This investment will continue to build on Canadian innovation and secure a stronger position for Canadian firms in the lithium and battery sector.”
Mangrove’s platform can integrate with upstream lithium producers, vertically integrate lithium refining alongside battery manufacturing, or act as a versatile independent refinery. All of these contribute to a more resilient and distributed supply chain (See Figure 2). Mangrove intends to work with different companies throughout the lithium and battery supply chains to produce battery-grade lithium hydroxide and lithium carbonate at commercial scale to meet growing demand.
About Mangrove Lithium
Mangrove Lithium, a Vancouver based company, has developed a breakthrough platform for the most cost-effective production of battery grade lithium hydroxide and carbonate from diverse input streams and assets. Mangrove’s modular solution can be scaled to any capacity and co-located with upstream lithium producers or cathode and cell manufacturers. The platform technology is also being commercialized for the conversion of waste brines to chemicals and desalinated water. Visit www.mangrovelithium.com.
About Breakthrough Energy Ventures
Backed by many of the world’s top business leaders, Breakthrough Energy Ventures (BEV) invests in cutting-edge companies that will lead the world to net-zero emissions. BEV has more than $2 billion in committed capital to support bold entrepreneurs building companies that can significantly reduce emissions from agriculture, buildings, electricity, manufacturing, and transportation. BEV’s strategy links government-funded research and patient, risk-tolerant capital to bring transformative clean energy innovations to market as quickly as possible.
The first fund was created in 2016 as part of the Breakthrough Energy network of initiatives and entities, which include investment funds, non-profit and philanthropic programs, and policy efforts linked by a shared commitment to scale the technologies needed to address climate change and achieve a path to net zero emissions by 2050. Visit www.breakthroughenergy.org to learn more.
About BDC Capital
BDC Capital is the investment arm of BDC, the bank for Canadian entrepreneurs. With over $3 billion under management, BDC Capital serves as a strategic partner to the country’s most innovative firms. It offers businesses a full spectrum of capital, from seed investments to growth equity, supporting Canadian entrepreneurs who have the ambition to stand out on the world stage. Visit bdc.ca/capital.
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CONTACT: Jack Shaw
KEYWORD: NORTH AMERICA CANADA
INDUSTRY KEYWORD: OTHER ENERGY AUTOMOTIVE AUTOMOTIVE MANUFACTURING MANUFACTURING ALTERNATIVE ENERGY ENERGY ALTERNATIVE VEHICLES/FUELS
SOURCE: Mangrove Lithium
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PUB: 11/17/2021 10:00 AM/DISC: 11/17/2021 10:01 AM