Cadoux secures battery-grade HPA qualification and expands rare earth JV

Battery-Grade HPA Qualification Unlocks Commercial Pathways

Cadoux Limited (ASX:CCM) has crossed a critical technical and commercial threshold by securing qualification of its premiumHPA® high purity alumina for use in next-generation European lithium-ion batteries. The milestone was achieved through the SAFELOOP consortium, a European Union-backed collaboration focused on safer, longer-lasting EV batteries. After a rigorous two-year testing program covering electrochemical performance, thermal stability, and safety, Cadoux’s premiumHPA® met the demanding standards required for advanced battery separator coatings and doping applications.

This qualification not only validates Cadoux’s proprietary flowsheet and manufacturing consistency but also significantly de-risks the project’s commercialisation pathway. Battery manufacturers, traditionally conservative with new suppliers, can now consider Cadoux as a credible source of ultra-high purity HPA, paving the way for larger-scale sample supply, strategic partnerships, and offtake negotiations. Given the forecast rapid expansion of the HPA market, driven primarily by EV and semiconductor demand, this achievement positions Cadoux favourably in a tightening supply landscape.

Wimmera Rare Earth JV Delivers Encouraging Drilling Results

On the exploration front, Cadoux has secured a district-scale position in Victoria’s southern Wimmera rare earth-zircon province through the Wimmera Mineral Sands (WMS) Joint Venture. The initial drilling campaign completed 101 aircore holes over 2,864 metres, targeting fine-grained WIM-style and coarse strandline mineralisation. Notably, the Danube Prospect revealed a coherent shallow mineralised system with an Exploration Target of 50–100 million tonnes grading 800–1,200 ppm total rare earth oxides plus yttrium (TREO+Y) and 0.8–1.2% in-situ zircon.

The results demonstrate an attractive combination of shallow mineralisation and elevated heavy mineral content, including xenotime, a key source of critical heavy rare earths dysprosium and terbium. These elements are vital for high-performance permanent magnets used in clean energy and advanced technologies. The WMS project complements Cadoux’s downstream ambitions with its Minhub Darwin processing hub, potentially feeding finer-grained materials into the planned rare earth flotation circuit.

Minhub Darwin Project Advances as Critical Processing Hub

Cadoux’s 50%-owned Minhub Operations Pty Ltd continues to develop its multi-user rare earth and mineral sands processing facility in Darwin, Northern Territory. The plant’s modular design targets an initial 500,000 tonnes per annum capacity with plans to expand to 750,000 tonnes, including a third circuit dedicated to rare earth flotation. This expansion is driven in part by potential xenotime-rich feed from the WMS project, underpinning a scoping study into producing a Heavy Rare Earth Mixed Rare Earth Carbonate (HRE-MREC) product.

The Darwin location offers strategic access to international shipping routes, enabling efficient export of bulk products like ilmenite to Asia and higher-value zircon and rare earth concentrates to Europe, the US, and India. Minhub’s collaborative feedstock model aims to aggregate mineral sands from multiple Victorian projects, enhancing operational flexibility and project resilience.

Capital Raise and Financial Position Support Development

Backing these technical and exploration advances, Cadoux successfully completed a $2.6 million placement at 3 cents per share, the company’s first capital raise since early 2021. The raise included attaching options exercisable at 6 cents, reflecting investor confidence in Cadoux’s growth trajectory. The company ended the quarter with approximately $3.31 million in cash, including escrowed funds related to potential corporate transactions.

Ongoing Front-End Engineering Design (FEED) workstreams for the Small Scale Demonstration and Production Plant (SSP) continue to refine capital and operating cost estimates, advancing the HPA project towards a Final Investment Decision. Concurrently, assay results from the WMS maiden drilling campaign are expected in the September quarter, alongside metallurgical testwork and further drilling to delineate resources and optimise processing pathways.

ESG Integration and Industry Collaboration Remain Priorities

Cadoux maintains a strong focus on environmental, social, and governance (ESG) initiatives, embedding sustainability into its operations and stakeholder engagement. The company actively participates in industry groups such as the Critical Minerals Association of Australia, with leadership roles contributing to sector-wide ESG standards. Recent activities include public-private collaboration forums and regional community engagement, underscoring Cadoux’s commitment to responsible mining and sustainable value creation.