UK firm to build new battery site to make electric vehicles cheaper

A UK-based clean technology startup has announced that it is planning to build a new recycling plant in the UK for end-of-life electric vehicle (EV) batteries. Altilium Metals told Express.co.uk that since minerals in the battery, which will be recycled, constitute to a significant part of the costs of an electric vehicle, this site could make EVs in the UK much cheaper. With the UK Government set to phase out fossil fuel vehicles from 2030, Altilium estimates that by then, the global demand for EVs will have skyrocketed, and subsequently producing over 11 million tonnes of battery waste annually, enough to fill Wembley Stadium almost 20 times every year.They estimate that their mega-scale recycling plant, expected to be built in Teeside, will transform battery waste from 150,000 EVs a year, providing the UK with a stable, cheap supply of critical minerals. The startup has so far received a £3million boost from the Government to build this site, through the Automotive Transformation Fund. Speaking to Express.co.uk, Christian Marston, the COO of Altilium said that their new site can recycle 95 percent of the old battery. He said: “We see that the demand side for the critical metals in gigafactories is going to be huge, likewise there’s a tsunami wave of end-of-life critical batteries coming on later this decade.”We’re looking to do recycling at mega-scale, there’s some uniqueness around the size of what we want to do, and we need to be a part of that ecosystem which is being developed in Teeside area. Right now there’s a lithium refinery going there, there’s also a big hydrogen project. UK handed huge EV boost with new battery site to make ‘electric cars cheaper’ (Image: Getty) The site would slash the costs of an electric battery (Image: Getty)”Recycling end-of-life batteries for critical minerals already in the UK, the cost saving is over 35 percent, compared to mining and refining critical minerals which are overseas and for transporting them.He noted that recycling the battery is also significantly more climate-friendly, having a carbon saving of 38 percent when compared to the process of mining, refining and shipping minerals across the world.He added: “Approximately 40 percent of the cost of a modern EV is a battery. 70 percent of that cost is the minerals. So a saving in supply of raw material can make a direct cost savings in EV batteries.”You can see that any cost saving in those minerals will lead to lower battery costs. Depending on the type of battery, it could lead to a 3-5 percent saving in battery costs using recycled materials. READ MORE: UK’s first gigafactory site ‘attracting the attention’ of Elon Musk EV sales in the UK are soaring (Image: Express) The site would recycle lithium and other critical minerals (Image: Getty)”If you lower the cost of a battery, which is a key component of an electric vehicle, you can increase the adoption of EVs. “For Teesside, this proposed multi-million-pound investment is expected to create 100 to 200 high-value jobs by 2025, and hundreds more jobs are expected to be created during the construction, with a projected 18-month build to get the plant up and running. Altilium also hopes that the facility will help attract EV battery manufacturers to set up large-scale sites, or gigafactories in the UK.Commenting on the investment, Kamran Mahdavi, CEO, Altilium Metals, said: “We are excited to announce Teesside as the preferred location for Altilium Metal’s first UK recycling plant, as we scale up our technology to help meet the growing demand for critical metals and move towards a circular economy for the battery value chain. The startup hopes they can attract more gigafactories to the UK (Image: Getty)”The significant volume of end-of-life batteries and scrap from giga-factories expected in the UK requires mega-scale recycling solutions and we look forward to demonstrating the process at scale here on Teesside.’Until recently, lithium-ion batteries were regarded as hazardous waste, but they can actually serve as valuable sources of raw materials such as lithium, nickel and cobalt.”Recycling or ‘urban mining’ will play an important role in making sure these valuable metals are returned to the supply chain in the most environmentally friendly way, rather than ending up as landfill waste.’