Business
International Battery Metals Announces Signing of Term Sheet for Modular Direct Lithium Extraction Plant With Customer
VANCOUVER, BC, AND HOUSTON, Jan. 11, 2024 /CNW/ - International Battery Metals Ltd. (the "Company") (CSE: IBAT), is pleased to announce the signing of a term sh
About this update from International Battery Metals Ltd
[{"type":"text","content":" VANCOUVER, BC, AND HOUSTON, Jan. 11, 2024 /CNW/ - International Battery Metals Ltd. (the \"Company\") (CSE: IBAT), is pleased to announce the signing of a term sheet for deployment of our modular direct lithium extraction plant (the \"MDLE Plant\") with a customer (the \"Customer\") in the western United States. Our MDLE Plant utilizes our proprietary selective absorption media minimizing the use of chemicals, reducing by-product waste, and recovering over 98% of our process water. The Customer is a significant producer of metals and minerals including the production of battery grade lithium carbonate. Pursuant to the terms sheet, IBAT will immediately begin mobilizing the MDLE Plant to the Customer's site where it will be integrated into existing production facilities. The initial targeted production, following commissioning, is approximately 4,000 metric tons per annum of lithium carbonate with the goal of increasing this production to over 8,000 metric tons per annum by optimizing the MDLE Plant. The integrated system will represent the first commercial direct lithium extraction operation to go online in North America. The term sheet provides for mobilization fees and cost sharing arrangements for the commissioning and optimization of the MDLE Plant. Once the MDLE Plant completes the initial commissioning, the term sheet also provides that IBAT will be entitled to monthly equipment rentals and royalties based on the volumes produced and the realized sales value of the lithium carbonate. Additionally, the Customer will have certain options to purchase the MDLE Plant while IBAT will retain all the technology rights, the royalties, and be the exclusive supplier of the absorption media to the Customer. \"Our MDLE Plant is the industry leading direct lithium extraction technology available today. We are very excited for this opportunity to reach full commercialization and look forward to future developments with our outstanding Customer,\" commented John Burba, Founder and Chief Technology Officer. \"We are very pleased with achieving this significant milestone for IBAT. The opportunity to integrate our MDLE Plant with a Customer who has existing production facilities is an outstanding outcome, accelerating the full commercialization of our technology and achieving meaningful product...