Technology Minerals shares gained 4.7% to 3.3p in early afternoon trading on Tuesday, after the battery metals group won an environmental permit from the Environmental Agency (EA) for its 49% owned Recyclus battery recycling firm.
The company commented that the permit would provide the key legal foundation for Recyclus to receive the variation of licence needed to kick off full-scale of operations at its Wolverhampton site.
The permit represents the second licence Recyclus has received over the past two weeks, including its previous permit for its Tipton recycling facility earlier in May.
Technology Minerals confirmed that the licence was required due to the unusual undertaking of recycling lithium-ion batteries within the UK.
The EA also reportedly reportedly prioritised the determination of the group’s application to transfer its permits across its Wolverhampton plant and its lead-acid Tipton plant, as a result of its contribution to protecting the environment.
The circular-economy firm added that its Wolverhampton plant would be the first in the UK capable of recycling lithium-ion batteries, once it was fully-operational, and would be the lynchpin of the company’s aim to increase its lithium-ion battery recycling capacity from 8,300 tonnes in its initial year of operations to 41,500 tonnes by 2027.
Technology Minerals further said it aimed to ramp up operations at its Tipton plant from 16,000 tonnes in the first year of full production to 80,000 in the next five years.
“Receiving the EA permit for our Wolverhampton plant is a critical step for the recycling facility to become fully operational which, for the first time, will bring industrial scale recycling capability for lithium-ion batteries in the UK,” said Technology Minerals chairman Robin Brundle.
“To be awarded priority status and be categorised as an organisation critical for environmental protection is fantastic. This high-level of recognition from the EA is reflective of the importance of Recyclus’ ambition to recycle batteries and establish a circular economy for battery metals in the UK.”
“With the increasing demand for critical battery metals, we are pleased to be seen as integral to ensuring a domestic supply through recycling.”