Lithium Australia Ltd has announced that its wholly owned subsidiary Envirostream Australia Pty Ltd (Envirostream) – which is leading Australia’s battery recycling industry – has signed a new exclusive 3–year recycling agreement (“Agreement”) with Hyundai Glovis.
Hyundai Glovis is a world leading logistics provider which operates a distribution network
for finished vehicles and is part of the Hyundai Motor Group. During the initial 3–year
term, ending on 21 March 2027, Envirostream will be the exclusive provider of battery
recycling services for all of Hyundai Glovis’ batteries in Australia. The Agreement, whilst
exclusive, has no minimum volumes and includes customary termination rights on the
occurrence of an insolvency event or any unremedied breach under the Agreement.
The Agreement with Hyundai Glovis highlights Envirostream’s continued focus on
accelerating growth in collection volumes of large format lithium–ion batteries, such as
those from EVs and ESS, to deliver stronger commercial outcomes. The total tonnage of
ESS and EV batteries sold is projected to grow between 10% and 40% year on year until
20302, which in turn is expected to result in an increased demand for battery recycling
services.
This presents a significant market opportunity for Envirostream. Signing exclusive contracts with leading OEMs3 and battery manufacturers is a core part of Envirostream’s national growth strategy, in line with the Company’s previously identified key priorities of FY24. Envirostream looks forward to leveraging these tailwinds
