Mr. Massimo Bressi reports

BATTERY X METALS ANNOUNCES AMENDED AGREEMENT WITH GLOBAL TOP 20 RANKED UNIVERSITY TO ACCELERATE ECO-FRIENDLY BATTERY-GRADE MATERIAL RECOVERY TECHNOLOGY

Battery X Metals Inc.'s wholly owned subsidiary, Battery X Recycling Technologies Inc., has entered into an amended research collaboration agreement with a global Top 20 ranked university. As one of North America's largest and most advanced centres for mining engineering education and research, the university's Institute of Mining Engineering will collaborate to further advance the company's proprietary battery-grade material recovery technology. This agreement, effective Aug. 1, 2024, extends the partnership through June 30, 2025.

News release highlights:

• Extended research partnership with global Top 20 ranked university: Battery X Metals has amended and extended its collaboration with a global Top 20 ranked university to advance the development of its proprietary eco-friendly battery-grade material recovery technology.
• Proprietary ecofriendly battery-grade material recovery technology: The collaboration focuses on optimizing Battery X Metals' proprietary ecofriendly froth flotation process, a sustainable and energy-efficient method for recovering critical battery-grade materials such as graphite, lithium, nickel and cobalt from black mass. This technology aims to enhance battery-grade material recovery while reducing environmental impact and energy consumption.
• Commitment to clean energy transition and sustainability: Battery X Metals' innovative lithium-ion battery recycling technology aligns with global efforts for cleaner energy by ensuring a steady supply of critical battery materials essential for electric vehicle (EV) battery production. This ecofriendly process supports both sustainability and economic growth in the clean energy transition.

The problem

The global shift toward electrification is driving the clean energy transition, with lithium-ion batteries playing a central role in reducing reliance on fossil fuels. Lithium-ion battery demand is projected to surge by 670 per cent by 2030, with energy storage requirements rising from 700 gigawatt-hours in 2022 to 4.7 terawatt-hours, primarily due to EVs (electric vehicles). Regulatory initiatives such as the U.S. Inflation Reduction Act and Europe's Fit for 55 program, along with the European Union's 2035 ban on internal combustion engine vehicles, are accelerating this growth. Yet, less than 5 per cent of lithium-ion batteries are currently recycled. EVs and battery storage will make up about half of the mineral demand growth from clean energy technologies over the next 20 years, spurred by the surging demand for battery materials such as graphite, lithium, nickel, cobalt, manganese and copper.

The solution

Battery X Metals aims to address this critical need with its proprietary froth flotation technology, which is being developed to recover essential battery-grade materials (such as graphite, lithium, nickel, cobalt, manganese and copper) from the residual material of end-of-life lithium-ion batteries, known as black mass, a highly sought-after resource. The company, in collaboration with the university, is working to validate this technology for the efficient recovery of graphite and oxides from black mass, with the intent to commercialize it upon successful validation.

Whereas, traditional battery recycling methods (such as hydrometallurgy and pyrometallurgy) affect graphite and metals differently. In hydrometallurgical processes, leaching agents dissolve metals like cobalt, nickel and lithium for recovery. However, graphite, being non-metallic, is often left behind or degraded during the process, making its recovery both challenging and costly. Additionally, hydrometallurgy can break down metal oxides into ionic forms, meaning an extra step is required to reconstitute the oxides for reuse if needed. In pyrometallurgical processes, high-temperature smelting is employed, where graphite is burned off entirely, which makes its recovery impossible. Moreover, pyrometallurgy reduces metal oxides to pure metal, necessitating a further oxidation step if oxide recovery is required. While these methods efficiently recover metals (such as cobalt and nickel), other valuable materials, including lithium and aluminum, are often lost in the slag, limiting their recoverability.

Battery X Metals is focused on recovering critical battery materials in a sustainable way, avoiding the use of leaching agents, smelting or breaking down metal oxides. This approach aims to ensure the preservation and availability of essential materials (such as graphite, lithium, lithium, nickel, cobalt, manganese and copper) for electric vehicle (EV) battery production and other clean energy applications. By bypassing the environmentally harmful impacts associated with traditional recycling methods, Battery X Metals aims to address the growing demand for lithium-ion battery materials while significantly reducing the environmental footprint and energy consumption of the recycling process.

Battery X Metals' commitment to a clean energy future

"Our ongoing collaboration with the University, one of North America's largest and most advanced centres for mining engineering education and research, remains a cornerstone of our strategy to develop sustainable, innovative solutions for the lithium-ion battery recycling industry," said Massimo Bellini Bressi, chief executive officer of Battery X Metals. "This amended agreement brings us closer to validating our proprietary ecofriendly technology for recovering critical battery-grade materials, contributing to the EV revolution and clean energy transition."

Collaboration objectives and approach

The collaboration between Battery X Metals and the university aims to develop, optimize and validate the proprietary froth flotation process. This ecofriendly technology is designed to recover critical battery-grade materials, including graphite, lithium, nickel, cobalt, manganese and copper, from black mass. The process aims to recover spherical graphite and preserve metals in their oxide forms, enabling their seamless reintegration into the battery manufacturing supply chain. Currently in the research and development phase at lab scale, the company plans to provide updates on projected recovery rates and other relevant details as the research progresses. With the timing of this agreement coinciding with the start of the school season, the company anticipates imminent progress and will share updates accordingly.

At present, progress has been made in the research of black mass recycling. Key methodologies (such as particle size distribution (PSD), Zeta potential and flotation tests) have been conducted on multiple black mass samples provided by Battery X Metals throughout the duration of the study and revealed distinct behaviours, with one sample exhibiting favourable characteristics for larger-scale processing. The research underscores the importance of particle behaviour and surface chemistry in optimizing recycling processes, with continuing refinement of flotation techniques using different collectors.

The university's research team aims to further enhance the technology development by conducting individual flotation tests on each component to further refine the separation process, leveraging the insights from Zeta potential measurements.

This partnership underscores the potential for continuous innovation in sustainable battery material recovery processes, contributing to both environmental sustainability and the broader clean energy transition.

Payment and intellectual property terms

As part of the agreement, Battery X Metals will provide a total of $56,350 in payments, distributed in three instalments to support the continued research:

• $20,000 upon signing the amendment (already paid);
• $20,000 by Sept. 1, 2024 (already paid);
• $16,350 by Oct. 1, 2024.

Under the agreement and upon receipt of payments mentioned herein, Battery X Metals retains a non-exclusive, non-transferable, royalty-free licence to use any joint intellectual property developed during the collaboration. In addition, Battery X and the university grant the other a reciprocal non-exclusive, non-transferable, royalty-free licence to use and exploit the intellectual property developed by the other party during the contract period in the performance of the project for any commercial or non-commercial purposes.

About Battery X Metals Inc.

Battery X Metals is committed to advancing North America's clean energy transition through the development of proprietary technologies and domestic battery and critical metal resource exploration. The company focuses on extending the lifespan of EV batteries, through its portfolio company, LIBRT, recovering battery-grade metals from end-of-life lithium-ion batteries, and exploring domestic battery and critical metals resources.

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