AMG Critical Materials opens Europe’s first lithium hydroxide refinery in Germany

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AMG Critical Materials has successfully opened Europe’s first lithium hydroxide refinery in Bitterfeld-Wolfen, Germany.

AMG Lithium BV, which oversees all of AMG’s lithium activities, began production of battery-grade lithium hydroxide on Wednesday (September 18) at the first of five planned modules at the site.

The annual capacity of one module is 20,000 metric tons (tpa), enough for about 500,000 electric vehicle (EV) batteries. AMG’s first module has sold out and the company plans to expand production to 100,000 metric tons per year (tpa) of battery-grade lithium hydroxide by 2030.

According to recent forecasts from the Benchmark project, 700,000 tonnes of lithium will be needed for European batteries by 2030.

Heinz Schimmelbusch, Chairman of the Board of Management and CEO of AMG NV, said: “With the refinery, we are taking the first step and making a decisive contribution to securing the supply of the critical raw material lithium for industry in Germany and Europe.

“Establishing our own complete lithium value chain also contributes to the European Critical Raw Materials Act and provides greater independence for raw materials and critical materials.”

Lithium hydroxide is a key ingredient in the production of cathode materials for EV batteries, contributing to the transition to carbon-neutral transportation.

Several European lithium mining and refining projects are expected to start commercial operations next year, supported by OEMs looking to regionalise battery supply chains and reduce reliance on imports.

However, several European companies are facing major setbacks.

According to Galp, a partner in the 50-50 joint venture Aurora and Swedish battery manufacturer Northvolt have decided to postpone the construction of their battery lithium refinery in Portugal until 2026 due to the complexity of the project and uncertainty about the allocation of subsidies.

The refinery, which will cost more than €1 billion ($1.10 billion), targets an initial production capacity of up to 35,000 tonnes of lithium hydroxide per year

Tees Valley Lithium revealed last month that it had made significant progress in securing £19.5 million ($25.89 million) of funding for its Wilton refinery project. The funding is intended to support the growth of EV adoption in the UK.

The Teesside lithium refinery aims to produce 96,000 tonnes of lithium hydroxide per year. It will meet 100% of the UK automotive industry’s forecast demand for lithium by 2030 and export 35% of its production to other European countries and beyond.

“AMG Critical Materials Launches Europe’s First Lithium Hydroxide Refinery in Germany” was originally created and published by Mining technologya brand of GlobalData.


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