Zinc of Ireland (ASX: ZMI) has completed the Meclex acquisition, accelerating pilot testing of its ARGO and VOLTA hydrometallurgical technologies while launching a major drilling program at its Kildare zinc-lead project.
- Acquisition of Meclex secures ARGO and VOLTA technologies
- ARGO pilot testing underway, targeting mid-2027 milestone
- VOLTA commercial-scale demonstration plant set for Q4 2026
- 3,500m drilling program commenced at Kildare project
- Completed $5.5 million placement to fund exploration and tech development
Meclex Acquisition Unlocks Low-Emission Metal Recovery Technologies
Zinc of Ireland Limited (ASX:ZMI) has taken a significant step in diversifying its technology portfolio by completing the acquisition of Meclex, a European metallurgical technology developer. Meclex brings two proprietary hydrometallurgical processes; ARGO and VOLTA; that promise to disrupt traditional zinc and lead recovery methods. These technologies offer low-temperature, low-emission alternatives to energy-intensive pyrometallurgical processes, addressing mounting environmental and regulatory pressures.
ARGO targets zinc leach residue (ZLR) from primary zinc smelting, aiming to recover zinc, lead, silver, and critical minerals such as gallium, germanium, and indium. The technology has been technically verified at lab scale, with pilot testing now underway at Solvomet in Belgium. ZMI expects to advance ARGO to pilot phase by mid-2027, with a major testwork program designed to refine energy and reagent consumption data for full-scale modelling.
VOLTA Technology Advances to Larger Commercial Demonstration
Meanwhile, the VOLTA technology, focused on lead-acid battery recycling, is progressing to a larger commercial-scale demonstration plant at SERI Industrial's facility in Italy. This technology promises ultra-high lead recovery rates exceeding 99%, while significantly reducing toxic gas emissions and carbon footprint. The demonstration plant is targeted for commissioning in Q4 2026, bypassing the initially planned smaller pilot phase to accelerate commercial deployment.
ZMI is also developing a low-cost mobile pilot unit for on-site testing at existing secondary lead processing plants across Europe. Discussions with SERI Industrial about licensing agreements and market expansion are ongoing, reflecting growing interest in VOLTA's potential to meet stringent EU Battery Regulation standards.
Kildare Drilling Program Targets Resource Expansion and Technology Integration
On the exploration front, ZMI has mobilised a drill rig to its flagship Kildare Zinc-Lead Project in Ireland, initiating a 3,500-metre program designed to test resource extensions and high-priority regional targets. The Kildare deposit currently hosts an inferred mineral resource estimate of 11.3 million tonnes grading 9.0% combined zinc and lead.
The drilling campaign is also aimed at generating samples for detailed testwork to evaluate the integration of ARGO technology with the Kildare resource. Approvals have been secured from the Geoscience Regulation Office, with drilling expected to continue into the first quarter of 2027.
Capital Raise and Leadership Appointments Support Growth Strategy
ZMI successfully completed a placement raising A$5.5 million before costs to fund exploration and technology development. The placement saw strong support from directors, with subscriptions totaling $550,000. This capital injection positions the company well to advance its technology commercialisation and drilling programs.
Key executive appointments during the quarter include Greg Ross as CEO, bringing over 35 years of experience in engineering and technology commercialisation; Mark Pearce as Non-Executive Chairman; Greg Swan as CFO and Joint Company Secretary; and Dr Duncan Turner as Chief Technical Advisor, a metallurgist with extensive global expertise. The company also changed its name from Zinc of Ireland NL to Zinc of Ireland Limited, reflecting its evolving corporate structure.
Cash Flow and Funding Position
Financially, ZMI reported operating cash outflows of A$272,000 and investing outflows of A$1.1 million during the quarter, largely attributable to Meclex acquisition costs and exploration expenditure. These were more than offset by the A$5.5 million capital raise, resulting in a healthy cash balance of A$4.1 million at quarter end. The company estimates this funding will support its activities for over nine quarters at current expenditure levels.
Bottom Line?
Zinc of Ireland’s integration of Meclex’s ARGO and VOLTA technologies alongside active drilling at Kildare sets a clear path toward commercialisation, but pilot results and regulatory approvals will be critical milestones to watch.
Questions in the middle?
- Will ARGO pilot testing confirm the technology’s scalability and cost advantages by mid-2027?
- How will licensing agreements for VOLTA evolve amid regulatory delays and expanded plant capacity?
- Can the drilling program at Kildare deliver resource extensions that enhance ARGO integration economics?