Lithium Australia’s (ASX:LIT) wholly owned subsidiary Envirostream Australia has signed an exclusive recycling agreement with Infinitev Australia,
Under agreement LIT will recycle lithium and nickel-based batteries owned by Infinitev in Australia.
Infinitev is a leading provider of remanufactured EV batteries in Australia for consumers. It operates as a subsidiary of ASX-listed Amotiv (ASX:AOV), formerly GUD Holdings Limited, an ASX 200 company. Amotiv is a leader in the automotive aftermarket industry across Asia Pacific.
Under the Agreement, Lithium Australia will receive a service fee for the collection of lithium and nickel-based batteries owned by Infinitev and also includes a revenue share component derived from third party sales of Mixed Metal Dust (MMD) and Nickel Metal Hydride Batteries generated from the batteries supplied by Infinitev.
Under the agreement, Infinitev will recommend Lithium Australia to their customers who are seeking battery recycling services.
The agreement is for an initial three-year term, with an optional term of one-year. Customary termination rights exist on the occurrence of an insolvency event or any unremedied breach under the agreement.
CEO and Managing Director, Simon Linge, said LIT Lithium remains focused on signing exclusive contracts with leading OEMs and battery manufacturers, as demonstrated by agreements signed in 2024.
He said significantly, this Agreement with Infinitev provides an alternate source of end-of-life batteries.
“Our focus in FY24 to improve our recycling commercial model continues to deliver cash operating profits into FY25. We look forward to continuing this momentum and signing further exclusive recycling agreements with other leading OEMs and EV / ESS manufacturers to secure further battery volumes.”