Battery materials firm Lithium Australia has finalised the 100% purchase of lithium-ion battery recycling company Envirostream.
The deal for the final 10%— Lithium Australia already owned 90%— of the company making Envirostream a wholly-owned subsidiary of the Australian-based company.
Lithium Australia’s managing director Adrian Griffin said that by acquiring the final 10% of equity in Envirostream his firm was able to take full ownership of the asset, which is planning to expand its activities into key population centres on Australia’s east coast, as well as offshore.
Griffin said: “As Australia’s only Environment Protection Agency-permitted and licensed recycler of mixed batteries, including lithium-ion batteries, Envirostream is well-placed to keep spent batteries out of landfill while providing as much sustainable feed material as possible for the manufacture of new lithium-ion batteries.
“This is particularly important in the current climate of supply shortages and surging prices for battery minerals.”
Upping battery recycling
Envirostream has reported an increase in its collection and processing of spent batteries since beginning the B-cycle initiative— the Australian government-backed battery recycling scheme (‘BSS’) developed by the Battery Stewardship Council and initiated in January.
The B-cycle scheme gives rebates to battery collectors, sorters and recyclers that assist in the reduction of battery waste.
Envirostream works across the collection, sorting and processing divisions within the B-cycle scheme.
Lithium Australia began buying Envirostream in 2019 when it secured a 73.7% share of the battery recycler after starting the year with a AUD600,000 (US$429,000) investment for 560 shares in Victoria-based Envirostream— which represented 18.9% of the company’s issued capital.
Perth-based Lithium Australia paid AUD100,000 ($68,000) in November 2019 for the additional shares, mirroring its payment in October that year to take its overall share in the recycler from 18.9% to 23.9%.
The final 10% of the Envirostream was expected to have cost Lithium Australia AUD $250,000 ($186,00).