Lepidico supports UAE's vision of Net Zero

By Suneeti Ahuja-Kohli

Lepidico, a lithium mica processing company committed to producing lithium in a more environmentally friendly manner, has made significant progress towards building its plant in the UAE. The Australian firm has successfully completed crucial steps in detailed design and engineering for this project. Currently, it is finalising its funding and investment plans to commence construction in KEZAD.

“This project marks a groundbreaking chemical plant on a commercial scale, set to produce approximately 5,500 tonnes of lithium hydroxide annually. It is anticipated to be one of the world’s most environmentally friendly lithium chemicals,” states Joe Walsh, Managing Director, Lepidico.

“Compared to conventional hard rock lithium chemical production methods that involve high temperature and/or high pressure processes, our development and operating risks are significantly lower. Our capability to deliver lithium hydroxide or carbonate, along with other strategically demanded metals, is sustainable and cost-competitive. Furthermore, our process generates no solid waste, which distinguishes it from conventional hard rock methods that are both energy-intensive and wasteful. Hence, this project is well-aligned with the Abu Dhabi government’s Vision 2030,” Walsh adds.

Lithium, as one of the lightest metals, finds widespread applications in lithium-ion batteries, medical devices, ceramics, glass, lubricants and nuclear technology. Given the global emphasis on sustainability and environmentally conscious practices, both in the corporate and governmental spheres, it is imperative to adopt cleaner and greener approaches to conducting business.

Lepidico has been engaged in discussions with the UAE and US governments for securing funding for the project. It is collaborating with Signum Capital, a debt advisory firm based in London. Walsh remarked, “Over the course of about 15 months, we’ve been in talks with a stateowned Abu Dhabi organisation regarding core funding for establishing the chemical plant in

Abu Dhabi. Additionally, we are in negotiations with the Development Finance Corporation, a division of the US government, to secure debt funding for the upstream segment of the project in Namibia.”

The overall project necessitates developmental capital amounting to $266 million, with slightly over $200 million to be invested in Abu Dhabi and approximately $64 million in Namibia.

“Funding is a critical component of the project. Our technical team is currently focusing on optimisation initiatives, and we are poised to proceed. Our project is exceptionally sustainable, presenting a compelling opportunity to introduce a new source of lithium chemicals that are pivotal for the UAE’s energy transition,” states the Managing Director.

In the previous year, Lepidico