Lithium miner Orocobre and joint venture (JV) partner Toyota Tsusho Corporation (TTC) on Tuesday held a ground-breaking ceremony to mark the beginning of construction on the Naraha lithium hydroxide plant, in Japan.
The plant will convert primary-grade lithium carbonate feedstock sourced from the Olaroz facility, in Argentina, into purified battery-grade lithium hydroxide. Some 9 500 t/y of primary grade lithium carbonate will be used to produce 10 000 t/y of battery grade lithium hydroxide.
Orocobre MD and CEO Martin Perez de Solay said that the start of construction came at an opportune time, as demand for low-cost battery grade lithium hydroxide was forecast to grow significantly.
Sale of the lithium hydroxide will be managed by TCC as exclusive sales agent under a similar JV marketing arrangement to that operating for lithium carbonate from the Olaroz lithium facility. The majority of production is expected to be delivered to the Japanese battery industry.
Orocobre said that a cathode manufacturing plant was already in operation in the immediate vicinity and that plans had been announced to develop a battery manufacturing facility nearby.
The JV partners announced the approval of the $77.6-million lithium hydroxide plant in April and said, at the time, that it would be commissioned in the first half of the 2021 calendar year.
Dual-listed Orocobre holds a 75% interest in the project.