Lithium Universe snaps up global rights to PV solar recycling tech

Aspiring mineral producer Lithium Universe has snapped up the global rights to an innovative microwave technology designed by Macquarie University’s School of Engineering to simplify the separation and recycling of silicon and valuable metals in solar photovoltaic (PV) panels.

The company has entered a binding agreement to acquire the Macquarie-owned New Age Minerals, which holds the exclusive licensing agreement to use and commercialise the new-age technology.

The market liked the details of today’s reveal. The company came out of a trading halt today, with its share price surging on 76.1 million shares trading hands. The massive volume pushed the company’s share price from Friday’s close of 0.6 cents to finish the day at 1c for a more than tidy daily gain of 66.67 per cent.

The microwave joule heating technology (MJHT) utilises microwave technology to selectively heat silicon cells and soften the plastic used to bind the layers in solar cells.

Melting the plastic encapsulant then enables the panels to be easily delaminated and separated into their glass, silicon and metal components at a safe room temperature.

The technology can safely preserve valuable materials such as high-purity silicon, silver and critical metals such as gallium and indium for reuse, and prevent dangerous chemicals from being leached from panels dumped into landfill.

The high-tech process removes the need for energy-intensive chemical treatment or high-temperature baking, providing a more environmentally friendly recycling process. It minimises the gas emissions that would come from burning the plastic encapsulant and eliminates the toxic chemical waste streams generated from other recycling processes.

It is estimated just 15 per cent of waste solar PV cells are recycled worldwide due to the complex recycling procedures involved.

Notably, the International Energy Agency anticipates the world will be dealing with an astonishing 60 million tonnes to 78Mt of cumulative solar waste by 2050.

I am thrilled about the acquisition of Macquarie University’s Microwave Joule Heating Technology and the opportunity to potentially extract critical metals such as silver from solar panel recycling. The need for effective photovoltaic recycling has never been greater, with only 15 per cent of panels currently being recycled.

Tan said the mass accumulation of solar panel waste in landfills is a growing problem, particularly given the valuable critical metals that are left behind. He said microwave technology offers a promising solution to these challenges, enabling higher recovery rates and more sustainable recycling processes.

Lithium Universe believes the technology could also be integrated into existing solar recycling facilities and inexpensively scaled up for mass production.

The cost to lock in the technology consists of an upfront payment of $33,900 to the Sydney-based university to reimburse costs associated with registering the technology. Lithium Universe will make an annual $20,000 cash payment within 30 days of each anniversary of the commencement of the licensing agreement, beginning in 2027 until 2042.

New Age Materials will pay a 3 per cent royalty on the annual gross sales of products or services using the technology. Agreed milestones, including successful plant commissioning and first production, will incur further payments.

Lithium Universe has secured binding commitments to raise $1.7 million via a two-tranche placement to help purchase the private firm and its associated exclusive licence. The company will also spend some of the funds on a definitive feasibility study for its proposed Bécancour Canadian lithium refinery, pay for a capital raising and to cover its working capital needs.

Lithium Universe will issue 425M shares at 0.4 cents each to raise the funds, with $200,000 initially targeted for the purchase transaction and accompanying research and development.

Tranche one will see the issue of 150M shares to raise $600,000. A second tranche placement should see $1.1M come through the doors from the issue of 275 million shares. Shareholders will need to approve the second placement at a meeting expected to be held in July.

In a positive sign for the company, directors Tan, Patrick Scallan and Jingyuan Liu will pitch in a combined $57,000 into the tranche two placement if shareholders approve.

Lithium Universe wants to use MJHT to help it extract valuable metals from disused solar PV panels, to particularly target higher recoveries of silver, silicon, gallium and indium.

Most of the materials play a vital role in future clean energy needs.

The high-tech process could also be used to treat the lithium mineral spodumene at Lithium Universe’s proposed Bécancour Canadian lithium refinery.

Processing spodumene requires high-temperature processes. MJHT may reduce the heating costs and lower the cost of materials required to build the proposed facility.

The company’s management includes some noted chemical specialists, with significant experience in the lithium and chemical extraction businesses.

Given their collective longstanding history of making chemical extraction technology work, perhaps only a brave man would bet against their latest acquisition.

Is your ASX-listed company doing something interesting? Contact: matt.birney@wanews.com.au