Lifthium Energy receives grant for refinery in Portugal

Portugal is Europe’s largest lithium producer – though primarily for the ceramics industry, as reported by Reuters. Only recently has the country begun to focus on producing battery-grade lithium. Lifthium Energy is one of the pioneers in this sector and has announced that it has secured €180 million in state funding under the ‘Temporary Crisis and Transition Framework’ (TCTF). This time-limited EU state aid framework, established by the European Commission, enables government incentives to accelerate the energy transition and industrial transformation.

According to Reuters, Lifthium is 85% directly owned by the Portuguese conglomerate José de Mello, with an additional 25% held by José de Mello’s subsidiary, Bondalti. The lithium refinery will be built in Estarreja, approximately 50 kilometres south of Porto, where the chemical specialist Bondalti already operates facilities.

Regarding the planned refinery, Lifthium states that it will use proprietary technology designed to meet the ‘increasingly demanding regulatory environment.’ The company aims to begin operations by 2030 and achieve a refinery capacity of 50,000 tonnes of lithium hydroxide per year. However, the project is not yet fully financed. The next step will focus on ‘the search for and negotiation with a strategic partner, as well as consolidating market and financing conditions to enable a sound investment decision,’ as Lifthium explains. Meanwhile, the company is already considering a second refinery in Spain.

“We are moving forward with rigour and prudence. This incentive is very important for the project, but the focus remains on creating the necessary conditions to move on to the next phase,” says Duarte Braga, CEO of Lifthium Energy. “The goal is to establish commercial, strategic and financial partnerships that support a solid and sustainable long-term decision.”

reuters.com, lifthium.com