Hannans and Metalfer join forces for proposed lithium battery recycling partnership

Hannans (ASX:HNR) and Serbian steelmaking company Metalfer Group have executed a binding collaboration agreement for a proposed lithium battery recycling partnership.

In 2022, the companies began due diligence to support the decision of entering this agreement. Under the agreement, Hannans and Metalfer will work together to complete a feasibility study for a 10tpd spoke battery shredding plant.

The feasibility study covers project economics, preliminary equipment design, layout, schedule, permitting and cost estimates.

Hannnas and Metalfer will also work together to prepare a feedstock business plan based on an annual lithium-ion battery volume of no less than 4000t comprising of nickel-manganese-cobalt, lithium-manganese-cobalt, lithium-cobalt-oxide and nickel-cobalt-aluminium chemistries for a 10tpd processing capacity.

Metalfer president and founder Branko Zecevic commented on the agreement.

“We recognise the need to secure access to large volumes of future end-of-life EV’s and the present need to recycle a significantly growing volume of end-of-life batteries and production scrap from planned lithium-ion battery cell production is central and southern Europe,” he said.

“The partnership with Hannans presents the perfect opportunity for us to enter what is projected to be one of the world’s fastest growing markets.”

In addition to the feasibility study, the agreement contemplates the companies entering a further substantive agreement that will develop a business plan for a hub hydromet plant capable of processing products from the 10tpd spoke plant into high purity battery materials.

Hannans chief executive Brett Salt says the agreement supports the company’s strategy to transform into a sustainable battery recycler and battery material supplier in the European market.

“The agreement uniquely positions Metalfer to provide an enhanced value proposition to its customers,” he said.

“Through this partnership with Hannans, Metalfer aims to safely recycle end-of-life EVs, convert them into green steel and recover from their batteries high purity battery materials such as lithium, nickel, cobalt and manganese.”