How Lithium Universe’s New Solar Recycling Tech Could Reshape Critical Minerals Recovery
Lithium Universe Limited has secured global rights to a breakthrough solar panel recycling technology that promises to unlock vast reserves of critical minerals, while advancing its Québec lithium refinery with robust financials and strategic partnerships.
- Acquisition of Microwave Joule Heating Technology (MJHT) for efficient solar panel recycling
- Positive Definitive Feasibility Study (DFS) for Bécancour Lithium Carbonate Refinery with strong NPV and IRR
- Focus on silver recovery from end-of-life solar panels as first phase
- Counter-cyclical strategy to develop lithium conversion amid market downturn
- Strategic partnerships and funding initiatives underway, including $1.7 million capital raise
A New Frontier in Solar Panel Recycling
Lithium Universe Limited (ASX – LU7) has taken a significant step toward transforming the critical minerals supply chain by acquiring global rights to a cutting-edge photovoltaic solar panel recycling technology known as Microwave Joule Heating Technology (MJHT). Developed by Macquarie University, MJHT uses microwave energy to selectively heat and delaminate solar cells, enabling recovery of valuable materials like silver, silicon, gallium, and indium with unprecedented efficiency and sustainability.
This innovation addresses a pressing global challenge – only 15% of solar panels are currently recycled, with the remainder ending up in landfills, posing environmental hazards and wasting billions in recoverable metals. MJHT’s ability to operate at room temperature without hazardous chemicals marks a breakthrough in reducing energy consumption and toxic waste, potentially pushing recovery rates above 95% by value.
Silver – The First Critical Metal Target
Recognising silver’s pivotal role in photovoltaic cells and its rising price; doubling since 2018; Lithium Universe is prioritising silver extraction as the initial phase of its recycling strategy. The average solar panel contains about 20 grams of silver, worth approximately A$36 at current prices, translating into a multi-billion-dollar opportunity as solar waste accumulates globally.
The company is also poised to benefit from a complementary silver extraction technology developed by the Macquarie team, currently patent-pending, which promises to enhance recovery from delaminated silicon wafers. This aligns with LU7’s broader vision of developing mineral processing technologies that support a circular economy.
Advancing the Bécancour Lithium Refinery
Alongside its recycling ambitions, Lithium Universe has progressed its Bécancour Lithium Carbonate Refinery project in Québec, Canada. The recently completed Definitive Feasibility Study (DFS) confirms the project’s economic viability even under conservative lithium price forecasts, with a pre-tax Net Present Value (NPV) of approximately US$718 million and an Internal Rate of Return (IRR) of 21%. The refinery is designed to produce up to 18,270 tonnes per year of green battery-grade lithium carbonate, leveraging proven technology from the Jiangsu Lithium Carbonate Plant.
Strategically located near key transportation infrastructure and benefiting from low-cost green power, the refinery aims to close the lithium conversion gap in North America, reducing reliance on Chinese processing facilities amid tightening export controls on lithium technologies. LU7 is actively engaging with spodumene concentrate producers and OEMs to secure long-term feedstock and offtake agreements, positioning itself as a critical player in the North Atlantic lithium supply chain.
Navigating Market Challenges with a Counter-Cyclical Approach
Despite current lithium market headwinds and paused land option payments for the refinery site, Lithium Universe is employing a counter-cyclical strategy; developing its projects during downturns to be ready for the anticipated market recovery. The company recently raised $1.7 million through a placement to sophisticated investors to support ongoing development and is pursuing strategic partnerships and project financing to advance its ambitions.
LU7’s management changes, including the transition of Alex Hanly to Chief Development Officer, reflect a focus on execution and commercialisation of both the recycling technology and lithium refinery projects. The company is also advancing environmental assessments, regulatory permitting, and community engagement to ensure sustainable development.
Strategic Partnerships and Future Outlook
Lithium Universe has secured key Memorandums of Understanding with Lafarge Canada for aluminosilicate product supply and Polytechnique Montréal to advance lithium processing technologies. These partnerships underscore LU7’s commitment to integrating innovation with local supply chains and industrial applications.
As global demand for critical minerals intensifies, driven by renewable energy and electric vehicle growth, Lithium Universe’s dual focus on innovative recycling and lithium refining positions it at the forefront of a rapidly evolving sector. The company’s ability to unlock value from solar waste and produce battery-grade lithium in a geopolitically strategic location could prove pivotal in addressing supply chain vulnerabilities.
Bottom Line?
With its novel recycling technology and advancing lithium refinery, Lithium Universe is strategically poised to capitalize on the critical minerals surge, if it can secure funding and navigate market headwinds.
Questions in the middle?
- When will Lithium Universe commercialise the silver extraction technology and scale MJHT?
- How will LU7 secure long-term spodumene supply and offtake agreements amid competitive pressures?
- What impact will China’s lithium technology export ban have on LU7’s refinery project timelines and partnerships?
