Australia's Kidman Resources company said on Friday it will co-develop a lithium processing plant with its Chilean joint venture partner, SQM lithium, in Kwinana, western Australia.
Kidman Resources said in a filing with the Australian stock exchange that the full name of the joint venture was "western Australia lithium".
The company is expected to make a formal investment decision by the end of the year after completing its final feasibility study, but has not disclosed the amount of the investment.
The western Australia lithium ion battery has a nameplate capacity of about 44,000 tons of lithium hydroxide or 37,000 tons of lithium carbonate.The plant is expected to begin construction next year and will begin production in 2021.
Kwinana will soon be a hotbed for global battery manufacturers.The western Australian state government has welcomed the project and has set aside about $4.1 million to fund the state's battery technology development.
In addition, the world's largest lithium processing facility, operated by China's tianqi lithium, is expected to start production later next year, with a capacity of about 48,000 tons/year of high-grade lithium hydroxide.