Australia to trial electric kiln technology that could make cleaner EV batteries

Western Australian company PLS is set to trial a new electric kiln technology aimed at reducing carbon emissions in the production of lithium materials for electric vehicle (EV) batteries. Backed by a $38 million grant from the Australian Renewable Energy Agency (ARENA), the firm will construct a demonstration plant to process hard-rock lithium using renewable energy. The facility is expected to begin producing lithium phosphate materials by the end of September, with an annual capacity of 3,000 tonnes once fully operational. This project represents a strategic move to enhance Australia’s position in the global battery supply chain, particularly as demand for EVs and home energy storage soars amid ongoing oil supply uncertainties. PLS has secured an offtake agreement with Chinese battery materials firm Ningbo Ronbay New Energy Technology, which will provide crucial feedback to evaluate the technology’s commercial viability. PLS CEO Dale Henderson emphasised that the evolving battery market will ultimately favour the most competitive and sustainable production methods, highlighting the significance of this trial. Australia, as the world’s leading supplier of lithium and spodumene, currently exports much of its raw material without processing it domestically, missing out on added value. ARENA CEO Darren Miller noted that this initiative is a vital step towards building local capability to produce low-emission battery materials and capturing more economic benefits from the global clean energy transition. The funding aligns with ARENA’s broader strategy, following a recent investment in Queensland start-up Banksia Minerals, which is developing low-emission copper processing technologies. With global lithium-ion battery demand projected to grow sharply, driven by the increasing adoption of EVs and energy storage solutions, innovations like PLS’s electric kiln technology could play a crucial role in meeting sustainability goals. The trial may also help Australia strengthen its export potential by moving up the value chain from raw mineral supplier to producer of advanced battery materials. As the battery market continues to expand rapidly, such developments are likely to shape the future of clean energy manufacturing both domestically and internationally.