Lifezone Metals and Glencore to form US JV to recycle platinum, palladium and rhodium from spent catalytic converters

Lifezone Metals signed a term sheet with a subsidiary of Glencore plc for the two-phased implementation of a recycling joint venture to recover platinum, palladium and rhodium (collectively platinum group metals or PGMs) from spent automotive catalytic converters.

The joint venture will be domiciled in the US. The goal of the joint venture is to profitably deliver high purity, refined PGMs from 100% recycled sources.

Lifezone is providing its Hydromet technology for Phase 1 confirmatory piloting and design of the recycling facility. Test work is underway at Lifezone Metals’ laboratories in Perth, Australia and is expected to be complete in the first half of 2024.

Hydromet—which leaches metallic concentrates with liquid solvents in successive steps—is intended as a lower energy-intensity processing technology for metals from Lifezone’s Kabanga Nickel Project in Tanzania.

Primary filtration test completed at Lifezone Metals’ laboratories in Perth, Australia (November 2023).

The Phase 1 confirmatory pilot project costs are expected to be $3 million. Initial capital costs for the Phase 2 commercial-scale recycling facility in the US are expected to be in the range of $15-20 million for a ~115,000 oz per year PGM recycling facility.

Glencore will provide a working capital facility for the Phase 2 commercial-scale recycling facility and will be the sole offtaker and marketer of the refined PGMs.

By applying our Hydromet technology, we aim to responsibly recover platinum, palladium and rhodium from recycled sources in a cleaner and more efficient manner than otherwise possible through traditional smelting and refining. Following our acquisition of Simulus Labs in July, where we acquired the preeminent hydrometallurgical testing and engineering design group, we gained the capability to simultaneously advance our Kabanga Nickel Project through the continuing Definitive Feasibility Study while also investigating other important applications of our core Hydromet technology.

—Lifezone Metals’ Chief Executive Officer Chris Showalter