Rock Tech Lithium Inc. (Toronto, Ont., Canada) is pleased to announce that it has selected leading global professional services company Worley Ltd. (North Sydney, Australia) as its preferred engineering, procurement, and construction management (EPCM) partner for the construction of Europe’s first lithium converter. The partnership will pave the way for the rapid and efficient implementation of the project.
To date, lithium converters have mainly been in operation in China and Australia. With a capacity of 24,000 tons of lithium hydroxide per year, the plant in Guben, Brandenburg, is an important building block for a resilient European battery value chain. By 2030, 50% of the material used will come from recycled batteries. The investment costs amount to around €800 million. The state and federal governments have awarded funding of €100 million to ensure a level playing field in international competition.
In June, Rock Tech announces that it received a binding letter of intent (LOI) signed by the Minister for Economic Affairs in Brandenburg, Joerg Steinbach, for the grant of up to €90 million Euros in subsidies for the Guben Project. In addition, the announced that its application for federal funding from the German Railway Authority is progressing well and is expected to lead to a contribution of another €10 million in grants. This funding is expected to be provided under the “Anschlussbahnförderung” and will support the company’s ambition to shift transports from road to rail, a crucial component of the project’s logistics concept.
Kerstin Wedemann, Chief Legal & Operations Officer, comments: “We are excited to develop our relationship with Worley and we are confident that together we will achieve success for our Project. Worley has a pedigree as a world class global project delivery partner. They provide full services until commercial operation. The international team will be supported by Worley’s Germany office, taking care of the specific needs at a German site.”
Rock Tech plans to start project execution of the converter this year once the financing has been completed. The project received full permit approvals of the Brandenburg State Environmental Agency in May 2024 and has completed comprehensive basic engineering (FEL3 study). The technical specification for construction and commissioning has been completed, and planning for ramp-up and operation of the future converter has started.
The EPCM selection process, coordinated by Accenture, took over six months to complete. Worley was selected against several competitors. Key criteria in the selection process included previous track record in complex projects, technical expertise and experience in implementing projects in Germany.