Lithium Australia enters energy storage market with DLG partnership

energy storage
energy storage

Lithium Australia NL (ASX:LIT) has arrived in the energy storage market after finishing bureaucracies for joint battery marketing operations with China-based battery and energy storage experts DLG Group. Post the announcement, on 09 December 2019, the LIT stock hit an intraday high of $0.044, shooting up 22%, before lastly closing the day’s trade at a price of $0.038 with a market capitalization of $19.23 million.

The principal activities of Lithium Australia NL include of project acquisition, mineral exploration and process development, mainly for the extraction and recovery of lithium with an aim to ensure an ethical and sustainable supply of energy metals to the battery-operated industry by creating a circular battery economy while also enhancing energy security in the process.

The partners have established a 50:50 incorporated joint venture known as Soluna Australia Pty Ltd that will sell lithium-ion batteries (LIBs) and Soluna energy storage products into the expanding Australian renewables energy market. Soluna Australia will enable the provision of new battery materials and recycling solutions for the rapidly expanding energy-storage industry, utilizing technologies developed and being developed by LIT and DLG. That will demand an investment of more than $5 billion in energy-storage solutions in the next 10 years, with LIBs forming a significant proportion of that.

As a recorded brand of trademark of DLG Energy, Soluna’s products are already sold in Europe and the U.S. with sales expanding worldwide. Additionally, Soluna Australia would offer battery-recycling keys through the battery recycling business unit of Lithium Australia.