Mangrove Lithium collects $10m in Breakthrough-led Series A

Mangrove Lithium, a Vancouver-based technology platform for the production of battery-grade lithium hydroxide, has raised $10 million in Series A financing.

Mangrove Lithium, a Vancouver-based technology platform for the production of battery-grade lithium hydroxide, has raised $10 million in Series A financing. The round was led by Breakthrough Energy Ventures, with participation from existing investor BDC Capital’s Cleantech Practice. Mangrove will use the funds raised to build its first operational, commercial-scale plant.

PRESS RELEASE

November 17, 2021

VANCOUVER, British Columbia–(BUSINESS WIRE)–Mangrove Lithium announced today it has closed a $10 million USD Series A investment round led by Breakthrough Energy Ventures (BEV) with participation from existing investor BDC Capital’s Cleantech Practice (BDC). The company will use the investment to build its first operational, commercial-scale plant with the intention of expanding lithium refining capacity in the Western Hemisphere.
Benchmark Mineral Intelligence forecasts a global supply gap of 4.3 million tons of lithium carbonate and lithium hydroxide by 2040. The supply of high-purity, battery grade lithium will be critical to the rapid adoption of electric vehicles (EV). A shortage could keep millions of EVs from being built.

Mangrove has developed a feedstock-flexible, modular platform to produce battery-grade lithium hydroxide and lithium carbonate. It does so cost-effectively by using brines, hard-rock, clays, and battery recycling streams to address this supply gap.

“A sufficient supply of high-purity lithium is critical if the world is going to reach over 70% EV penetration by 2040. There is a strong risk of this ambition being derailed if the emerging supply deficit is not addressed today,” said Mangrove CEO Saad Dara.

The company’s technology unlocks new assets and turns resources into reserves by enabling greater project bankability. Mangrove’s initial focus is on the lithium brines that represent 60% of global deposits. Mangrove’s innovation eliminates complex steps in the conventional refining processes for lithium brines. In addition to eliminating CapEx traditionally associated with conventional refining methods, Mangrove’s technology has the potential to reduce OpEx by as much as 40% in lithium hydroxide production from brines.

“Transitioning to EVs is a critical step in reducing global greenhouse gas emissions. Mangrove’s technology solves a huge constraint in electrifying the world’s vehicle fleet by enabling the lowest-cost, highest-purity lithium hydroxide – at a scale of hundreds of millions of vehicles – and can be applied throughout the supply chain,” said Carmichael Roberts, Breakthrough Energy Ventures.

BDC’s Vivian Kan added that, “This investment will continue to build on Canadian innovation and secure a stronger position for Canadian firms in the lithium and battery sector.”

Mangrove’s platform can integrate with upstream lithium producers, vertically integrate lithium refining alongside battery manufacturing, or act as a versatile independent refinery. All of these contribute to a more resilient and distributed supply chain. Mangrove intends to work with different companies throughout the lithium and battery supply chains to produce battery-grade lithium hydroxide and lithium carbonate at commercial scale to meet growing demand.

About Mangrove Lithium
Mangrove Lithium, a Vancouver based company, has developed a breakthrough platform for the most cost-effective production of battery grade lithium hydroxide and carbonate from diverse input streams and assets. Mangrove’s modular solution can be scaled to any capacity and co-located with upstream lithium producers or cathode and cell manufacturers. The platform technology is also being commercialized for the conversion of waste brines to chemicals and desalinated water. Visit www.mangrovelithium.com.