AMG Critical Materials opens Europe’s first lithium hydroxide refinery

AMG Critical Materials has opened Europe’s first lithium hydroxide refinery in Saxony-Anhalt, Germany. The refinery, where commissioning of the first of five modules planned for its site has begun, is primarily aiming to supply battery manufacturers based in Europe.

According to the Dutch specialty materials group, the annual capacity of one module at the plant in the town of Bitterfeld-Wolfen is 20,000 tonnes of batttery-grade lithium hydroxide per year – enough to power the batteries of around 500,000 electric vehicles.

The first module is sold out and by 2030, AMG’s concept is to expand annual production up to 100,000 tonnes of battery-grade lithium hydroxide from five modules, depending on market conditions. AMG said the expected production represents 14% market share of the projected applicable market in Europe for 2030, based on EV market forecasts from Benchmark Mineral Intelligence.

“With the refinery, we are the first mover, making a decisive contribution to securing the supply of the critical raw material lithium for the industry in Germany and Europe,” Heinz Schimmelbusch, chairman and CEO of AMG, said.

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

Stefan Scherer, managing director of AMG’s lithium unit, added that AMG is developing cutting-edge technology and materials to support the development of next generation, sulphur-based, solid-state-batteries with the main players in the industry.