Poseidon is a nickel sulphide exploration and development company with three existing projects located within a radius of 300km from Kalgoorlie. Credit: Supplied
Poseidon Nickel has entered into a draft agreement with Pure Battery Technologies to study the merits of supplying nickel concentrate to the Queensland-based company’s proposed Kalgoorlie refinery.
The $460 million battery mineral refinery, which is set to create 1100 jobs, would help meet increasing global demand for electric vehicle batteries.
PBT is targeting initial production of up to 50,000 tonnes per year of precursor cathode active material from the refinery, which could be expanded over time.
Under a memorandum of understanding, Poseidon would supply nickel while PBT would evaluate the establishment of a regional refining hub in the Goldfields town.
The parties will work towards a definitive agreement that would detail how they could work together to develop a regional supply chain from mine to concentrate, to an intermediate mixed nickel cobalt hydroxide product that would be further refined in PBT’s refinery.
“This could be a great way for us to improve the payability of nickel in our concentrate and improve the margins of our projects,” Poseidon’s chief executive Peter Harold said.
The refinery is expected to become one of the world’s most sustainable facilities of its kind.
PBT’s chief executive Bjorn Zikarsky said the Kalgoorlie refinery would be “ground-breaking in terms of green technology”.
“In every sense, this technology and its application aligns with global aspirations of net-zero emissions and Australia’s own important role in this process,” Mr Zikarksy said.
PBT uses a patented selective acid leaching process to refine intermediate nickel and cobalt products with a lower environmental footprint.
Poseidon is developing three projects in a 300km radius of Kalgoorlie. It has a resource base of around 400,000 tonnes of nickel and 180,000 ounces of gold.
Poseidon shares closed up 0.5¢, or 5 per cent, at 10.5¢.
