Plans to create a specialised battery recycling plant in Sunderland have moved forward on the back of a £1.7m funding deal.
Lithium Salvage intends to build a pioneering refinery in Sunderland which will convert waste lithium-ion battery materials from household appliances into salt which can be sold on for new uses – a process seen to be a critical component of Government’s ambition to improve Ƶ self-sufficiency. Waste generated from lithium-ion household batteries used in items including power tools, mobile phones and vacuum cleaners is already significant and it is likely to grow, yet much of this waste is sent overseas for processing because of a lack of capacity here in the Ƶ.
The batteries contain valuable metals such as lithium, manganese, cobalt and nickel that can be recovered and reused. Lithium Salvage has developed an environmentally sustainable refining process to recover the metals as salts, which can be sold through trading partners.
The company – which plans to be the only end-to-end household lithium-ion battery recycler in the Ƶ by 2026 – has received £1.7m in an investment round led by Northstar Ventures through its Venture Sunderland Fund. The round will support the scale up of the production process and enable the expansion of its Sunderland site.
Additional investment is from Sixth Wave Ventures, NPIF II - Maven Equity Finance, which is managed by Maven as part of the Northern Powerhouse Investment Fund II (NPIF II), supported by the British Business Bank, Gaspara Asset Management, and angel investors from across the Ƶ. To date, the business has been supported by Innovate Ƶ and collaborations with Teesside University, the Centre for Process Innovation, GAP Group, Pennine Energy and 6th Engineering.
Simon Robeson, chairman and founder said: “Today’s funding announcement is a further vote of confidence in our vision, our technical capabilities and our mission to create a scalable and ecologically sound supply chain for recycled Lithium-ion battery materials.”
CEO Duncan Noble said: “Li-Sal’s proprietary process delivers a sustainable, market-leading solution to the escalating Ƶ need to recycle waste lithium-ion batteries without creating other waste streams or shipping these valuable metals abroad.”
Tom O’Neill, investment manager, Northstar Ventures said: “We are extremely pleased to lead this round of investment in Lithium Salvage as the second deal from our Venture Sunderland Fund. The fund looks to support high-potential businesses that are seeking to start up or grow in Sunderland. Lithium Salvage is tackling a major environmental issue, whilst establishing a pioneering household Lithium-ion battery materials recycling facility in the Sunderland city region that builds on its strengths in battery technology and electrification. We look forward to working with them to achieve this vision.”
Michael Dickens, investment manager Maven Capital Partners said: “We’re delighted to support Li-Sal with its plans to commercialise a Ƶ refinery for waste li-bat materials. Simon and the team have built an impressive business and we look forward to supporting them as they seek to operate the Ƶ’s first end to end household appliances lithium-ion battery recycling facility based in Sunderland.”
Sarah Newbould, senior manager at British Business Bank said: “Innovative organisations that contribute to the green economy are exactly the type of businesses that NPIF II aims to empower through making finance more accessible to Northern entrepreneurs. This investment demonstrates how funding can generate a wider positive impact beyond business and create a more sustainable future for everyone.”
