ChemX Materials has received a $250,000 boost to help drive its 24-tonne per annum high-purity alumina (HPA) pilot plant development in Western Australia and plans to use the first part of its expected Federal Government research and development (R&D) rebate as security for the funding.
A further $191,000 is also due in the coming weeks, with the company earmarking the initial funds for a $200,000 investment in control system engineering to deliver increased safety and automation to its unique “HiPurA” process. Management says the short-term funding will enable its pilot plant systems to be improved as it strives to ramp up the commissioning of its high-tech development.
The initial advance of funds from finance provider Radium Capital represents about 45 per cent of the anticipated government rebate with a further 35 per cent, or $191,000, due shortly. The balance of 20 per cent is expected to land towards the end of the year, minus administration costs and interest charges.
The company believes the system enhancements will reduce future expenditure requirements and assist with establishing the basis for a future commercial plant operating system. It expects improved functionality to enable optimisation of several key processes.
As an innovative high-purity materials company, ChemX is focussed on the near-term delivery of its HPA Pilot Plant based in O’Connor, WA. Being able to accelerate our eligible R&D tax refund enables us to directly inject these non-dilutive funds back into the HPA Program and efficiently use our capital to deliver on our key projects.
The company is planning to deliver its first 99.99 per cent (4N) HPA material this year and says it is well-placed to take advantage of an expected increased demand for the product. Its HiPurA process that was developed in-house can produce both HPA and high-purity aluminium cathode precursor salts for lithium-ion batteries.
Initial testing has indicated that the process is low in cost and energy consumption compared to alternative methods. One of its competitive advantages is that the HiPurA process is modular, scalable and is not tied to mine production, with the feedstock being a widely-available chemical – although the company is yet to reveal exactly where it is sourced from.
ChemX recently notified the market that the early-stage commissioning of its leach circuit within the plant had begun. The leach circuit is a key part of its unique flowsheet and comprises the first part of its purification process.
The patented HiPurA process takes the alumina feedstock and upgrades its purity level for the solvent extraction (SX) stage.
HPA is widely-used in four specific markets, all of which are currently burgeoning.
It is used as a separator for lithium batteries, arguably the biggest commercial opportunity available to the company. It is also used in LED light globes and with a world now focused on low-energy options, that is another attractive market.
Apple’s iPhone is also a big user of HPA as its sapphire facias are largely made up with the product and the semi-conductor market is also responsible for a portion of HPA usage.
ChemX appears intent on proving its potential commercial scale to the end-user market and things could get interesting quickly if the pilot plant commissioning is successful and validates the company’s unique process to produce the non-metallurgical alumina.
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Source Agencies
