[SMM News] Elevra Lithium Secures Price-Floor Supply Deal with Mangrove for Quebec Spodumene Project

SMM, August 21: US-based critical minerals refiner Nth Cycle has been selected by the US Department of Energy to enter award negotiations for up to $100 million in funding to build a commercial-scale black mass refining facility, Project Shield, in the southeastern US one of the first of its kind domestically. The facility will refine up to 24,000 t/y of domestic black mass, the material recovered from shredded spent lithium-ion batteries, into high-purity nickel MHP and battery-grade lithium carbonate using Nth Cycle's proprietary OYSTER electroextraction system. The award addresses a structural gap in US recycling capacity: following the US Department of Commerce's recent one-year export ban on black mass, insufficient domestic refining has left China dominant in its processing. Nth Cycle already holds a ten-year offtake term sheet with Trafigura for 2,000 t of contained nickel and 1,500 t of lithium carbonate, adding to its existing Ohio operations. Project Shield is targeted for 2029, aided by a modular build model roughly 70% less capital-intensive than traditional refineries. SMM View: DOE backing for Nth Cycle reflects growing US urgency to build domestic lithium and nickel recycling capacity independent of Chinese midstream processing, with the black mass export ban tightening feedstock supply at home and locked-in offtake demand strengthening the case for battery recycling as a key pillar of western raw material security.

SMM, August 21: Zimbabwe's Parliamentary Portfolio Committee on Mines and Mining Development, led by Chairman Hon. Remigious Matangira, has endorsed Prospect Lithium Zimbabwe's (PLZ) Arcadia project as a beneficiation benchmark following a fact-finding visit to the Goromonzi site, citing the company's proactive investment in local processing ahead of regulatory enforcement. PLZ and subsidiary Arcadia Technology Zimbabwe have invested approximately $400 million in processing infrastructure and paid over $100 million in taxes and royalties to date. Its lithium sulphate plant, commissioned December 2025, is running stably, while a lithium carbonate plant under construction is set to begin rough output this month. The company reports a 90% metal recovery rate and 96% wastewater recycling rate, and has directed over $3 million toward community development, including founding the Triangle Zimbabwe College of Engineering and Technology. During the visit, PLZ Commercial Manager Leo Huizenga presented a package of fiscal reform proposals aimed at improving downstream refining competitiveness. The centerpiece is a graduated royalty system that would replace Zimbabwe's flat 7% rate with a tiered structure scaled to processing stage: 7% on raw ore/concentrates, 5% on lithium sulphate, and 3% on battery-grade chemical salts, rewarding beneficiation over raw ore export. PLZ also flagged a currency mismatch straining liquidity, with 30% of its revenue earned in ZiG against 84% of tax liabilities due in foreign currency, and is urging the government to accept a greater share of tax payments in ZiG. Separately, the company called for its 10% export tax and 3% export levy to be treated as tax-deductible expenses, arguing that current non-deductibility pushes the effective burden to approximately 16.25% under Zimbabwe's 25% corporate tax rate, amounting to double taxation. SMM View: Parliamentary endorsement of PLZ's Arcadia operation lends policy momentum to the company's fiscal reform push, positioning it as a reference case for how Zimbabwe may calibrate royalty and export-tax policy across its lithium sector. With processing capacity, community investment, and now legislative backing aligned, the outcome of PLZ's proposals particularly the graduated royalty system could set a precedent shaping how other Zimbabwean lithium producers structure future downstream investment decisions.

【China's Market Regulator Publishes Six Merger Review Cases to Curb “Involution” in Key Industries】 China's State Administration for Market Regulation (SAMR) published six typical merger review cases aimed at addressing excessive and disorderly competition, including TCL Zhonghuan New Energy Technology's acquisition of a stake in Yidao New Energy and the establishment of a joint venture for lithium-ion battery separators by Cangzhou Mingzhu and Guangzhou Zengcheng Development Zone. SAMR said it will continue to strengthen merger and antitrust reviews in key sectors including photovoltaics and lithium batteries, while supporting corporate mergers and acquisitions that improve asset utilization and operational efficiency.