2 November 2026
Alkemy Capital Investments Plc
TVL Train 1 Financing Update: Indicative Senior Debt Terms Received
Alkemy Capital Investments plc ("Alkemy") (LSE: ALK) (JV2:FRA), the 100% owner of Tees Valley Lithium Ltd ("TVL"), is pleased to provide an update on the financing of Train 1, the first 25,000 tonne per year production train of TVL’s lithium hydroxide refinery at Billingham ("Train 1").
In September 2026, TVL received an Offer in Principle for a DRIVE35 capital grant of up to £18.3 million, the cornerstone of the Train 1 financing.
TVL has in addition continued its engagement with several leading financial institutions who have expressed strong interest in providing the debt portion of the train 1 financing and has now received indicative terms from a US-based firm for a senior secured credit facility of up to US$150 million.
Highlights
• Indicative terms received for a senior secured credit facility of up to US$150 million towards Train 1.
• Builds on the DRIVE35 capital grant Offer in Principle of up to £18.3 million, the cornerstone of the Train 1 financing, as announced on 17 September 2026.
• Together, the indicative debt terms and the grant Offer in Principle represent the majority of the Train 1 funding.
• Purchase of the Train 1 site progressing in line with financial close, with on-site works targeted to start before the end of 2026.
• Discussions continuing with other prospective lenders to secure the most competitive terms for shareholders.
Train 1 Financing
Train 1 will be financed at the project level through a combination of senior debt, equity and grant funding. The DRIVE35 Offer in Principle is the cornerstone of that financing, and together with the indicative senior debt terms represent the majority of the funding required for Train 1, with the balance to be met by equity.
The indicative terms are for a senior secured credit facility of up to US$150 million. They are non-binding and subject to, among other things, lender due diligence, credit approval, the equity and grant components of the funding being in place, and definitive documentation.
TVL remains in discussions with other prospective lenders and will select the structure offering the best terms for the project and for Alkemy shareholders. There can be no certainty that any financing will be agreed or as to its final terms.
Site
The purchase of the Train 1 site at Billingham is progressing in line with financial close. TVL aims to start on-site works before the end of 2026. Alkemy will update the market as the financing progresses.
Paul Atherley, Chairman of Alkemy, commented:
"For decades the UK has built the cars and left others to make the materials that go into them. That is changing. When lenders put terms of this size on the table for a UK lithium refinery, it shows domestic refining is now seen as an investment case, not just a policy aspiration. We are now seeing plenty of interest to fund our lithium refinery and look forward to providing further market updates as these discussions advance."
Further information
For further information, please visit Alkemy’s website: www.alkemycapital.co.uk or TVL’s website www.teesvalleylithium.co.uk.
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Alkemy Capital Investments Plc |
Tel: 0207 317 0636 |
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Zeus Capital |
Tel: 0203 829 5000 |
ABOUT US
Alkemy Capital Investments plc: Alkemy is an LSE-listed investment vehicle that invests in the UK critical minerals sector and is looking to generate exceptional shareholder returns from the biggest energy transition in history.
Tees Valley Lithium Limited: TVL is developing an £185 million merchant lithium refinery in the Billingham chemical cluster in Teesside, which will refine high-value domestic and international feedstock into 25,000 tonnes per year of battery-grade lithium using Veolia’s commercially validated process technology - enough to support the production of 550,000 electric vehicles.
Forward-Looking Statements
This news release contains forward‐looking information. The statements are based on reasonable assumptions and expectations of management and Alkemy provides no assurance that actual events will meet management's expectations. In certain cases, forward‐looking information may be identified by such terms as "anticipates", "believes", "could", "estimates", "expects", "may", "shall", "will", or "would". Although Alkemy believes the expectations expressed in such forward‐looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those projected. In addition, factors that could cause actual events to differ materially from the forward-looking information stated herein include changes in market conditions, changes in metal prices, general economic and political conditions, environmental risks, and community and non-governmental actions. Such factors will also affect whether Alkemy will ultimately receive the benefits anticipated pursuant to relevant agreements. This list is not exhaustive of the factors that may affect any of the forward‐looking statements. These and other factors should be considered carefully and readers should not place undue reliance on forward-looking information.
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