Innovative Lithium Processing Project Back on Track in Western Australia
Pilbara Minerals, in collaboration with technology partner Calix Limited, has resumed construction of its mid-stream demonstration plant at the Pilgangoora lithium operation in Western Australia. The project, which had been on hold since October 2024 due to unfavorable market conditions, is back on track following a $15 million grant from the Western Australian Government’s Investment Attraction Fund.
Government backing and funding revival
Government support has played a pivotal role in reviving the project. The $15 million funding from Western Australia is in addition to $20 million in federal support from the Australian Government’s Modern Manufacturing Initiative. This financial backing highlights the strategic importance of mid-stream lithium processing in strengthening Australia’s battery materials supply chain.
By securing this funding, Pilbara Minerals and Calix can proceed with constructing and testing the world’s first industrial-scale electric spodumene calciner. This milestone represents a major shift toward a more sustainable and energy-efficient lithium refining process. The project aligns with Australia’s broader goal of increasing onshore value addition while reducing its reliance on raw material exports.
The resumption of construction is expected to generate significant employment opportunities. Approximately 80 jobs will be created during the construction phase, with an additional 35 roles becoming available once the plant is operational. The long-term vision includes potential expansion to a commercial-scale facility, further boosting employment and economic growth in the region.
The world’s first electric spodumene calciner
A core innovation of this project is the introduction of an electric spodumene calciner—a first-of-its-kind technology designed to decarbonize one of the most energy-intensive stages of lithium processing. Traditionally, spodumene, a key lithium-bearing mineral, is heated in fossil fuel-powered kilns to convert it into a form suitable for lithium extraction.
Calix’s innovative electric calcination process eliminates the need for fossil fuels, reducing greenhouse gas emissions while maintaining high efficiency. If successfully demonstrated, this technology could set a new standard for lithium processing worldwide, providing battery manufacturers with a more sustainable source of lithium.
Economic and employment impact
The project is not only a technological breakthrough but also an economic driver for Western Australia. The lithium industry plays a crucial role in the state’s economy, and the advancement of mid-stream processing ensures more of the value chain remains within the region. By refining lithium closer to its source, Australia can reduce transportation costs and strengthen its position in the global battery market.
The mid-stream plant’s construction and operation will create numerous job opportunities, both directly and indirectly. The project is expected to employ engineers, technicians, and process operators, contributing to workforce development in the clean energy sector. Additionally, the success of this demonstration plant could lead to future investments in larger-scale facilities, further solidifying Australia’s reputation as a leader in lithium processing innovation.
Strategic importance for Australia’s battery material supply chain
This project marks a significant step toward enhancing Australia’s role in the global battery materials supply chain. The mid-stream demonstration plant aligns with national and state-level policies aimed at promoting critical mineral processing and reducing carbon emissions. By implementing advanced refining techniques, Australia can offer more environmentally friendly lithium products, attracting major battery manufacturers and investors looking for sustainable supply chain solutions.
With construction now back on track, the mid-stream demonstration plant is expected to be completed by the end of 2025. The next phase will involve testing and optimizing the electric calcination process, ensuring its efficiency and commercial viability. If successful, Pilbara Minerals and Calix may scale up the technology for full-scale production.
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