Australia’s QPM gets $5.4mn for battery chemical hub

The Australian federal government has awarded an A$8mn ($5.41mn) grant to the country's battery materials developer Queensland Pacific Metals (QPM) for its Townsville Energy Chemicals Hub (Tech) project, which produces chemicals for lithium-ion batteries.

The grant, awarded under the International Partnerships in Critical Minerals programme, is subject to matched funding and an agreed project scope. QPM said the matched funding would be sourced independently, without affecting its gas and energy business, adding that discussions to secure the funds are ongoing.

The grant would be used for the commercial validation of the Tech project to produce nickel and cobalt sulphates, as well as other valuable co-products. QPM has been seeking independent funding for the progress of the project. The validation stage includes testing work, piloting, and engineering to produce a bankable feasible study.

The project aims to produce around 16,000 t/yr of nickel sulphate and 1,750 t/yr of cobalt sulphate for the electric vehicle and energy storage battery market. The funding for Tech was reduced in February, given a "challenging investment environment," owing to a downtrend in nickel and lithium prices.