Neometals notes cost study for plants will be delivered in two parts

(Alliance News) - Neometals Ltd on Wednesday said that the cost study for its recycling plants will be delivered in two parts in - July and December - as its joint venture, Primobius GmbH, focuses on ramping up another battery recycling demonstration plant.

The results of the internal engineering and cost study will form "baseline financial metrics to consider future investment decisions," regarding the deployment of lithium-ion battery recycling plants, Neometals explained.

London-based Neometals specialises in environmentally sourced battery materials.

Neometals noted its study will be late. The reason is that Primobius will focus on the Hilchenbach Spoke operation, instead of conducting the cost study. The Hilchenbach plant is a 50-050 joint venture between Neometals and Dusseldorf, Germany-based SMS group GmBH.

"The engineering and cost study will now be delivered in two parts, aligned to Primobius's staged commercial rollout plan," Neometals explained, adding that the results relating to the refinery part of the study are due to be released in December.

The announcement comes a day after Neometals said that the cooperation agreement between its joint venture with SMS group, Primobius, and Mercedes-Benz AG's subsidiary Licular GmbH has become legally binding.

Under the agreement, Primobius will enter into a long-term research & development collaboration for recycling cell formats and chemistries, and will provide a non-exclusive technology licence for the recycling plant, staff training and plant management to Licular.

Shares in Neometals were down 6.0% in London on Wednesday afternoon at 55.00 pence each.

By Tom Budszus; tombudszus@alliancenews.com

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