Volt Lithium (TSXV: VLT), led by a team of experienced oil and gas industry professionals, unveils groundbreaking lithium extraction technology, boasting an impressive 90% recovery rate from brines containing as little as 34 mg of lithium per liter.
In an interview with The Northern Miner, CEO Alex Wylie explains how the Volt team, leveraging their expertise in fluid movement, has made significant strides in extracting lithium from brine reservoirs.
“The data gathered from our pilot plant has provided compelling evidence that we can consistently extract lithium from low-grade brines. This breakthrough has the potential to unlock substantial commercial opportunities, particularly with major players in the oil and gas industry, especially in the Permian and Montney basins of North America.”
The groundbreaking extraction concept emerged from a collaboration between two seasoned industry professionals who had a shared history of working together for more than 15 years. Wylie brought his expertise from the oil and gas industry, while his partner had a background in a family-owned chemicals business based in Calgary. Driven by their fascination with the possibilities of lithium, they embarked on a journey to explore its extractability and push the boundaries of innovation.
Challenging the conventional belief that lithium extraction was only viable from high-concentration brines, the team stumbled upon a company called Standard that had achieved remarkable success in extracting lithium from concentrations as low as 300 mg per litre. This revelation ignited their curiosity and drove them to delve deeper into the possibilities, particularly in lithium-rich regions such as Chile and Argentina, where brines boasted extraordinarily high lithium concentrations.
With their main goal set on establishing a proficient lithium extraction company, the team aimed to extract lithium from brines spanning a wide range of concentrations. Drawing on their extensive knowledge in fluid movement acquired from the oil and gas sector, they devised a technology that exhibited impressive extraction rates during testing conducted at their Rainbow Lake lithium site in northwestern Alberta.
Utilizing Volt’s exclusive direct lithium extraction (DLE) technology, the company announced in late May that their pilot project accomplished lithium recoveries of 90% even at concentrations as low as 34 mg per litre. Wylie further reveals that the company has successfully simulated operating conditions at concentrations of 120 mg per litre, resulting in lithium recovery rates of up to 97%. With an estimated average annual production of 20,000 tonnes of lithium hydroxide monohydrate, the projected operating costs would be below $4,000 per tonne.
Volt’s DLE method comprises a two-stage process. The initial stage concentrates on eliminating contaminants from the brine prior to extraction. Through a strategic collaboration with a sub-contractor specializing in water treatment and filtration systems, the team has successfully implemented an efficient brine treatment system, streamlining the subsequent extraction process.
However, it was in the second stage that the real breakthrough in their technology occurred with the creation of custom-designed ion exchange beads.
“Unlike conventional beads, these innovative creations are just five microns in size and possess an impressive 800 times the surface area of other beads commonly used in the industry. This significantly enhances their extraction efficiency,” explains Wylie.
This breakthrough enabled the team to consistently extract lithium from brines throughout multiple testing stages, including highly successful pilot projects.
Scalable setup
Remarkably, the team was able to scale up their process from a small five-liter capacity in the laboratory to an impressive 2,000 liters during the bench testing phase. Buoyed by these promising outcomes, they proceeded to pilot production, handling a substantial 18,000 barrels of fluid per day. Wylie attests that their system demonstrated consistent extraction results, further cementing their belief in its scalability.
With an eye toward the future, the team is actively pursuing commercial production. Leveraging their expertise in fluid movement, they are determined to achieve their initial target of processing 60,000 barrels of fluid per day. This crucial milestone would pave the way for the production of 1,000 to 1,500 tonnes of lithium hydroxide annually, unlocking significant revenue opportunities for the company.
The successful pilot of Volt’s technology serves as a validation of their extraction capabilities and marks a significant breakthrough in extracting lithium from brines with lower concentrations. With the aim of showcasing the commercial viability of their system, Volt is actively seeking collaborations with oil companies operating in regions such as the Permian Basin and Montney. These regions are known to possess substantial lithium resources, presenting new opportunities for partnership and further development.
Prioritizing pilot projects over traditional mining assessments, the team at Volt has taken an unconventional approach to leverage the actual results obtained during pilot testing. CEO Alex Wylie believes that this strategy enables them to design and optimize future operations based on real-world data. Looking towards commercialization, Wylie envisions scaling up Volt’s operations and unlocking the immense potential of lithium extraction not only in North America but also in other regions across the globe.
By harnessing their game-changing technology, these experts from the oil and gas industry have positioned themselves as pioneers in the evolving lithium extraction sector. With a target of achieving commercial-scale operations by 2024, they are poised to revolutionize the industry. Their innovative approach, founded on their extensive knowledge of fluid movement, holds the key to unlocking a new era of sustainable and localized lithium production. With their vision and expertise, they are set to reshape the future of the lithium market.
Although experiencing a decline from its recent peak at C55¢ per share and a 10% drop on Wednesday to C26¢ per share in Toronto, the company’s shares have still recorded a significant 100% increase over the past 12 months. With a market capitalization of C$26 million ($19.8 million), the company remains a noteworthy player in the market.
