In Delta, British Columbia, amidst a cluster of unassuming industrial structures housing various businesses like plumbing supplies and fitness equipment, North America’s inaugural electrochemical lithium refining plant has been established. This unexpected location has become the setting for Canada’s endeavor to compete with China’s dominance in the lithium refining sector, which has become a significant concern globally.
Saad Dara, the CEO and founder of Mangrove Lithium, humorously described the facility as a “clown building” during a private tour, emphasizing its extensive layout and diverse sections, including the research and development laboratory. Following a lengthy journey, the company recently celebrated an official ribbon-cutting ceremony, marking a significant milestone.
Originally conceived as a solo venture and his thesis project in 2013, Dara transformed the idea into a full-fledged company in 2018. Currently, the facility employs approximately 75 individuals. Dara highlighted the meticulous design and construction efforts to convert their pilot operations into a fully operational plant, with plans to commence production of natural-grade materials soon.
The establishment of such facilities comes amid escalating trade tensions, with nations striving to secure supply chains for essential metals like copper, nickel, and lithium crucial for electrification and defense purposes. Recognizing the critical role of lithium in battery production and renewable energy transition, the Canadian government has designated it as a vital mineral. However, a substantial portion of the world’s lithium extraction and refining is dominated by South America, Australia, and particularly China.
China’s significant investments in the lithium market over the past 15 years have positioned it as a leader across the entire lithium value chain, encompassing mining, refining, active materials, and battery assembly. In contrast, Canada, while producing lithium, lacks capabilities in EV assembly, active materials, and recycling. The inauguration of Mangrove’s refinery in Canada signals a step towards establishing a robust lithium supply chain within the country.
Geoff McCarney, an associate professor at the University of Ottawa, emphasized the importance of reducing dependency on Chinese refining capacities to bolster Canada’s resiliency in critical mineral production. He mentioned the potential risks associated with supply bottlenecks if China restricts exports, underscoring the significance of domestic refining capabilities.
The utilization of electrochemical refining technology at Mangrove’s Delta facility presents a sustainable alternative to traditional refining methods prevalent in China, known for generating substantial waste byproducts. Electrochemistry’s electricity-based approach eliminates the need for harmful chemicals, offering a cost-effective and environmentally friendly solution.
The opening of this groundbreaking facility has garnered praise from various stakeholders, signaling a significant advancement in Canada’s critical minerals industry. With plans for expansion and the establishment of additional facilities in Eastern Canada, Mangrove aims to significantly contribute to Canada’s lithium supply chain and clean energy transition.
