EQS-News: As Carmakers Invest More In Environmentally Conscious Materials, Supply Of Key Material Chinese Phosphate Is At Risk
However, as more countries invest in LFPs, there will be a need for LFP production outside of China. This is especially true for Western carmakers that have environmental concerns.Why Chinese LFP Production Might Be Unsustainable
LFP batteries use phosphoric acid, a byproduct of phosphate ore. Phosphate can be processed into phosphoric acid in two ways: the wet process or the pyrogenic (Turner) process. China currently uses the Turner process.
The Turner process is power- and waste-intensive. While the wet process has a historically higher cost, it is preferred in the Western world because it is more environmentally conscious. Another major difference between the processes is the wet process requires higher-quality phosphate ore; while there is capacity of phosphate ore around the globe, there are fewer sites with high-quality ore, especially that needed for specialty applications such as batteries.
As auto producers invest more resources into sound environmental, social and governance (ESG) practices, it seems unlikely that the Turner process will continue to dominate the LFP market. It makes sense for the West to develop a substantial phosphate and phosphoric acid production industry that uses the wet process to offset the supply chain pinch from China.Canada-Based Arianne Phosphate Can Help Fill The Phosphate Gap
Arianne Phosphate Inc. (OTCMKTS: DRRSF) is a phosphate mining company that might help meet the growing demand for phosphate used in batteries and fertilizer. The company?s Lac ? Paul project in Quebec, Canada, is a response to the growing global demand for phosphate, which is increasing by 2% to 3% each year from agricultural demand? and claims to well-exceed that with battery demand.
The Canada-based company reports that it adheres to stricter ESG aligning with North American and European agendas and is setting itself apart from Chinese competitors.
One major edge Arianne reports is that its mine is an igneous deposit that can produce a concentrate higher than most of the world?s phosphate, which is otherwise housed in sedimentary rock. This allows Arianne to produce a high-purity and low-contaminant phosphate concentrate ideal for use in batteries and can be used in the wet manufacturing process.
As European and North American companies pivot away from their overdependence on Chinese suppliers, miners like Arianne Phosphate might be well-positioned to help fill the supply gap.
ARIANNE PHOSPHATE INC. (www.arianne-inc.com) owns the Lac ? Paul phosphate deposit in Quebec, Canada. Fully permitted and shovel ready, the asset is among the world?s largest greenfield deposits, capable of producing an environmentally friendly phosphate concentrate. Due to the nature of its high-purity, low-contaminant product, Arianne?s phosphate can be used to produce fertilizer as well as meeting the technical requirements of specialty applications such as the lithium-iron-phosphate (LFP) battery. The Lac ? Paul deposit is rare due to its geographic location and geological structure. Arianne Phosphate is listed on both the TSX-V: DAN and the OTCQX: DRRSF.
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This information contains forward looking statements. All statements, other than statements of historical fact, included herein, including without limitation, statements regarding potential mineralisation and reserves, exploration results and future plans and objectives of Arianne Phosphate Inc, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from Arianne Phosphate Inc?s (?Arianne Phosphate? or the ?Company?) expectations are disclosed under the heading "Risk Factors" and elsewhere in Arianne Phosphate Inc?s documents filed from time-to-time with the TSX Venture and other regulatory authorities.Contact Details
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15.11.2022 CET/CEST Dissemination of a Corporate News, transmitted by EQS News - a service of EQS Group AG.The issuer is solely responsible for the content of this announcement.The EQS Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases.Archive at www.eqs-news.comLanguage: English Company: Arianne Phosphate
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