Queensland-based battery materials developer VSPC, a subsidiary of Melbourne-headquartered Livium, has received a $30 million (USD 19 million) grant from the Australian Renewable Energy Agency (ARENA) to advance its cathode powder manufacturing process.
The funding will support the expansion of VSPC’s patented production method, which integrates solid-state and solution-phase synthesis techniques to enhance the performance and quality of lithium ferro phosphate (LFP) and lithium manganese ferro phosphate (LMFP) powders. The company states that this process is adaptable for various battery cell technologies.
ARENA’s funding will cover 50% of the costs for constructing and operating a proposed 250-tonne per annum LFP demonstration plant in Brisbane. The facility is expected to produce enough material to supply approximately 12,500 household batteries or 1,600 electric vehicle (EV) batteries, with projected annual revenues of $503 million. The initiative aligns with VSPC’s goal to contribute to diversified LFP supply chains.
Simon Linge, Managing Director and CEO of Livium, emphasized the significance of the project. “The grant from ARENA represents a major milestone in commercializing our battery materials technology. This funding is expected to attract further strategic investment to fully finance the project,” Linge said.
VSPC reports that independent assessments found its LFP materials demonstrated superior stability and retained the highest capacity at fast charging rates compared to leading market samples. The company’s manufacturing process allows for the production of high-purity LFP and LMFP using a flexible range of raw materials, supporting applications in energy storage systems (ESS) and electric vehicles (EVs).
ARENA CEO Darren Miller highlighted the potential impact of the project on cathode powder manufacturing. “If successful, this initiative could drive competitive manufacturing of cathode powders and strengthen supply chain diversification,” Miller stated. “As global energy storage demand grows, domestic advancements in cathode powder production position Australia as a key player in advanced battery manufacturing, opening new economic opportunities.”
This grant aligns with broader government initiatives to develop battery supply chains under the Future Made in Australia plan, which includes incentives for critical minerals production and battery manufacturing.
Federal Minister for Industry and Science Ed Husic emphasized the strategic importance of battery manufacturing. “Australia has world-class expertise in battery technology and significant reserves of essential minerals. Leveraging these strengths to build a robust manufacturing sector is essential for our economic future,” Husic said.
Get the newest supply chain report news updates at The Supply Chain Report. Interested in international trade? Check out ADAMftd.com for free tools.
#BatteryManufacturing #EnergyStorage #RenewableEnergy #SupplyChainInnovation #EVTechnology
