Koch’s Li-Pro Unit to Produce 150 TPA Lithium Carbonate at Prairie Project

A Landmark Deployment in Lithium Extraction

Arizona Lithium Limited (ASX: AZL) has announced a significant milestone with the planned deployment of Koch Technology Solutions’ (KTS) Li-Pro commercial-scale Direct Lithium Extraction (DLE) unit at its Prairie Lithium Project in Saskatchewan, Canada. This installation represents the largest DLE system ever built by KTS and the first commercial-scale production facility at the Prairie site.

The Li-Pro unit, described as a "quad pod," is designed to process approximately 1,000 cubic meters of lithium-enriched brine daily, with an expected output of 150 tonnes per annum (TPA) of lithium carbonate equivalent (LCE). This scale of operation is critical for de-risking the project’s commercial viability and validating the technology’s performance under continuous, real-world conditions.

Technology and Partnership Strength

Koch Technology Solutions, a subsidiary of Koch, Inc., one of the largest privately held companies in the United States, brings decades of expertise in chemical process innovation and licensing. The partnership with Arizona Lithium underscores a strategic alignment to pioneer lithium extraction from oilfield brines, a resource increasingly recognized for its potential to supplement traditional lithium sources.

Testing of the Duperow brine from Pad #1 using KTS’s Li-Pro technology yielded exceptional results, with approximately 98% lithium retention and an average 99% rejection of impurities such as calcium, magnesium, potassium, and sodium. These figures highlight the technology’s efficiency in producing battery-grade lithium, a critical factor for meeting stringent market specifications.

Phased Development and Scalability

The Prairie Project’s development is structured in three methodical phases. Phase 1 focuses on commissioning the proof-of-concept commercial-scale unit at Pad #1, expected by Q4 2025. This phase will process brine continuously to validate operational parameters and feed lithium chloride for onsite purification and conversion to battery-grade lithium carbonate.

Following successful Phase 1 operations, Phase 2 will expand production capacity at Pad #1 by deploying additional modular Li-Pro units and drilling more wells to maximize output. Phase 3 envisages replicating this model at Pads #2, #3, and other identified locations, enabling a scalable and cost-effective ramp-up in production.

Strategic Market Positioning and Environmental Credentials

Situated in Saskatchewan’s Williston Basin, the Prairie Project benefits from a mining-friendly jurisdiction with robust infrastructure access, including electricity, natural gas, water, highways, and rail. The project is strategically positioned to supply battery-grade lithium carbonate to mature Asian battery markets and the rapidly expanding North American sector.

Arizona Lithium emphasizes sustainability, targeting reduced freshwater usage, minimized land disturbance, and responsible waste management through lithium-depleted brine disposal wells. This approach aligns with growing environmental expectations in the lithium supply chain.

Capital Investment and Risk Mitigation

The capital cost estimate for the Phase 1 facility stands at approximately US$21.9 million, supported by detailed vendor quotes and extensive test work. The modular nature of the Li-Pro units allows for incremental investment aligned with production ramp-up, mitigating financial risk.

Operational data from a 2024 flow test indicates the well at Pad #1 can sustainably produce up to 4,100 m3 of brine daily over three years, well above the initial 1,000 m3/day planned for Phase 1. This provides a strong foundation for scaling production while maintaining resource integrity.

Looking Ahead

Arizona Lithium’s Managing Director, Paul Lloyd, highlighted the significance of this partnership and technology deployment, positioning the company as a first mover in oilfield lithium brine extraction. Koch Technology Solutions’ Director of Strategic Accounts, Patrick O’Hern, echoed this optimism, emphasizing the milestone as a testament to KTS’s leadership in DLE technology.

As the Prairie Project advances through its phased development, the lithium market will be watching closely to see how this innovative approach to lithium extraction performs at scale and contributes to the global battery supply chain.