Firebird’s Pilot Kiln Cuts Energy Use by 70%, Slashes Production Costs

Firebird Metals Limited has secured preliminary design approval for its battery-grade manganese sulphate plant in China and forged a strategic partnership to develop LMFP cathode materials, marking significant progress in its EV battery ambitions.

  • Preliminary design approval for Jinshi manganese sulphate plant secured
  • Pilot rotary kiln achieves 70% energy savings, reducing production costs
  • Strategic collaboration with Central South University to develop LMFP cathode materials
  • Mining lease agreement signed for Oakover Project with Aboriginal corporation
  • Farm-out of 80% interest in non-core East Pilbara manganese assets completed
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Battery-Grade Manganese Plant Design Approved

Firebird Metals Limited (ASX: FRB) has reached a pivotal milestone with the Jinshi High-Tech Industrial Park Committee granting preliminary design approval for its proposed battery-grade, high-purity manganese sulphate plant in Jinshi, Hunan, China. This approval follows comprehensive technical reviews and integrates feedback from key stakeholders, positioning the project on track to obtain its Building and Construction Permit upon completion of detailed engineering design.

Remarkably, Firebird’s Chinese subsidiary, Hunan Firebird Battery Technology Co., Ltd., has secured all critical permits within 12 months of incorporation, underscoring the company’s efficient execution and strong local engagement.

Innovative Energy-Efficient Rotary Kiln Delivers Cost Savings

Firebird’s pilot-scale calcining kiln, installed at the Jinshi site, demonstrated exceptional energy efficiency, consuming only 80-100 kWh per tonne of manganese powder roasted, approximately 70% less than conventional kilns that typically exceed 300 kWh per tonne. This breakthrough translates to a cost reduction of around USD 30 per tonne, or 5% of total production costs, enhancing Firebird’s competitive edge in manganese sulphate production.

The kiln’s design, which optimizes heat transfer between inner and outer tubes, has attracted international patent filings and commercial interest, including a strategic agreement with Zhongji Sunward Technology Co., Ltd. to co-fund and evaluate its commercial viability, with Firebird set to receive royalties on future sales.

Strategic Collaboration to Develop LMFP Cathode Materials

In a move to expand its footprint in the EV battery supply chain, Firebird has entered a binding collaboration with Central South University (CSU), a global leader in battery materials research. The partnership aims to develop a novel process for producing lithium manganese iron phosphate (LMFP) cathode active material, leveraging Firebird’s manganese sulphate output.

This integration promises a natural cost advantage by eliminating energy-intensive crystallisation steps common in LMFP production. Lab testing is slated to commence in Q1 2025, with plans for an internal scoping study and a pilot plant capable of producing one tonne per day. Firebird will retain ownership of all resulting intellectual property, positioning itself as a global innovator in LMFP technology.

Advancing the Oakover Project with Indigenous Partnership

Firebird also progressed its Australian mining interests by signing a mining lease agreement with the Karlka Nyiyaparli Aboriginal Corporation for the Oakover Project in Western Australia’s East Pilbara region. The agreement addresses royalties, cultural heritage protection, and ongoing engagement, reflecting Firebird’s commitment to responsible development.

Oakover, with a substantial mineral resource estimate of 176.7 million tonnes at 9.9% manganese, is central to Firebird’s long-term strategy to supply ore for its downstream processing plants.

Portfolio Streamlining and Financial Position

During the quarter, Firebird completed the farm-out of an 80% interest in its non-core DSO manganese assets in the East Pilbara to Macro Metals Limited, allowing the company to focus resources on core projects. The company ended the quarter with a cash position of $3.1 million, following $673,000 in development expenditure on its Chinese processing plants and $99,000 on exploration activities.

Firebird’s disciplined capital management and strategic partnerships underscore its ambition to become a leading supplier of battery-grade manganese materials amid growing global demand for LMFP batteries.

Bottom Line?

Firebird’s technological innovations and strategic collaborations position it well to capitalize on the rising demand for manganese in next-generation EV batteries.

Questions in the middle?

  • How will Firebird’s energy-efficient kiln scale in industrial production and impact overall costs?
  • What are the timelines and commercial prospects for Firebird’s LMFP cathode material pilot plant?
  • How will the Oakover Project’s development progress alongside Firebird’s downstream processing ambitions?