Lithion Recycling (Lithion), a Canadian company offering solutions to recycle lithium-ion batteries, has announced the construction of its first commercial critical mineral extraction plant in St-Bruno-de-Montarville, Canada. The plant is strategically located just outside Montreal to enable easy procurement of batteries and non-conforming materials from Canada and the US.

The plant is expected to process over 15,000 tons of lithium-ion batteries annually, sourced from electric, hybrid, and plug-in hybrid vehicles, as well as non-conforming materials from cell and battery manufacturing, to produce Lithion's critical minerals concentrate. Construction of the plant is progressing on schedule, with operations expected to begin this fall. Lithion has received financial support from the Quebec Government, via Investissement Québec and the Fonds d'électrification et de changements climatiques, IMM Investment Global, Fondaction, and General Motors for the construction of this plant.

This will be followed by the construction of a hydrometallurgy facility, which will separate the concentrate into its components to produce battery-grade lithium, cobalt, and nickel. The commissioning of this second facility is scheduled for 2026, pending an upcoming financing round and site selection.

Lithion has also announced a name change from Lithion Recycling to Lithion Technologies, stating that the new name more accurately reflects the company's identity.

Analyst QuickTake: The construction of this facility brings Lithion into the commercialization phase. Lithion has set a target of building 25 recycling plants by 2035. To support its commercialization and expansion plans, the company also raised CAD 125 million (~USD 99 million) in Series A funding early last year.