Lithium Universe Limited I Quarterly Report I June 2024

Lithium Universe Limited (ASX: $LU7) is making significant strides in addressing the lithium conversion gap in North America. The company is focused on advancing a mine-to-battery-grade lithium carbonate strategy in Canada through the Québec Lithium Processing Hub (QLPH), which includes a multi-purpose independent 1 Mtpa concentrator and an independent 16,000 tpa battery-grade lithium carbonate refinery. With over 20 major manufacturers planning to deploy an estimated 1,000GW of battery capacity in North America, the demand for highly processed lithium carbonate is set to surge. However, the region faces a scarcity of independent lithium converters, presenting a significant challenge and opportunity. Lithium Universe aims to bridge this gap by leveraging proven technology and expertise in spodumene concentration and lithium conversion design, with a focus on minimizing execution risk.

Executive Commentary

The 'Lithium Dream Team', comprising experts in hard rock lithium extraction and downstream conversion operations, is at the forefront of our efforts to mitigate the technical and startup challenges faced by lithium conversion plants worldwide. Leveraging proven technology and design methodologies, we are committed to establishing conversion capacity in North America. Our strategic visit to Chinese lithium refineries, including the Jiangsu Refinery, has reinforced our confidence in replicating their design and operational methodologies at the Bécancour Lithium Refinery in Canada. We are dedicated to ensuring a stable and reliable supply of lithium chemicals for the growing North American lithium supply chain.

Summary

Lithium Universe Limited is actively working towards closing the lithium conversion gap in North America by advancing a mine-to-battery-grade lithium carbonate strategy in Canada. With a surge in battery manufacturing anticipated in North America, the company's focus on establishing conversion capacity is crucial. The company's strategic visit to Chinese lithium refineries and the completion of environmental field studies at the Bécancour site underscore its commitment to ensuring a stable and reliable supply of lithium chemicals. Furthermore, the company's emphasis on LFP batteries and the emerging James Bay supply positions it favorably in the evolving lithium market. With strong government support and a proactive procurement strategy, Lithium Universe is well-positioned to contribute to the emerging battery supply chain in North America.