2.9 C
Belgrade
14/12/2024
Mining News

Galp scraps lithium refinery plan in Portugal due to funding challenges

Portuguese energy company Galp announced that it has canceled its plan to build the Aurora lithium refinery in Setúbal, Portugal, after failing to secure a new partner following the departure of Northvolt. Northvolt, a Swedish company specializing in electric vehicle batteries, had been a 50-50 partner in the joint venture established in November 2021. However, in early 2024, Northvolt pulled out of the project, leaving Galp to search for a replacement partner.

The project, initially estimated to cost over 1 billion euros ($1.05 billion), was designed to process lithium for use in electric vehicle batteries. It had been facing delays due to its complexity and ongoing funding challenges. The decline in lithium prices, driven by an oversupply from China, further diminished the project’s appeal.

Supported by

Northvolt, once considered Europe’s leading electric vehicle battery manufacturer, recently filed for U.S. Chapter 11 bankruptcy protection. The company struggled to secure funding despite negotiations with major investors, including Volkswagen and Goldman Sachs.

Related posts

India poised to decide on metallurgical coke import restrictions

David Lazarevic

AMMC plans to become world’s largest ore deposit by 2030 with major production growth

David Lazarevic

Kazatomprom and Jordan uranium mining company forge partnership for uranium projects

David Lazarevic
error: Content is protected !!