Singapore startup opens plant to recover lithium from EV batteries, raises US$7.6 million
NEU Battery Materials says its Tuas plant can process 1,300 tonnes of battery materials a year but will not run at full capacity for now.
Singapore-based startup NEU Battery Materials has opened its first plant in Tuas to recover lithium from certain electric vehicle (EV) batteries, marking a step towards making lithium recovery commercially viable. The 12,000 sq ft facility can process up to 1,300 tonnes of battery materials annually, though it will not initially operate at full capacity.
The company recently secured US$7.6 million in funding, which will be used for operating the plant, advancing the technology, and expanding overseas - primarily to Europe and the United States. NEU's focus is on lithium iron phosphate batteries, which make up over 55% of the global EV battery market in 2025. Unlike other batteries, these do not contain valuable metals, making recycling less lucrative.
NEU has developed a unique electrochemical redox process utilizing electricity and water, which reuses its proprietary chemical instead of conventional methods that consume chemicals. This process reduces costs and could make lithium recovery economically viable at scale. The company primarily uses production scrap from battery manufacturing as feedstock, which is about 85% of their current material.
The recovered lithium could be sold back to battery manufacturers to create new batteries, closing the circular economy loop. Additionally, the lithium carbonate could be sold to buyers in China, where these batteries dominate the market. NEU plans to scale up the Singapore facility if more end-of-life batteries become available locally, with existing equipment capable of accommodating about double the current processing capacity.
Written by urgent.news from CNA - Singapore's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
