Albemarle has announced it will expand its lithium hydroxide plant in Kemerton from two processing trains to four, with construction to begin immediately.
Once completed, the expansion will make the plant the biggest and most advanced lithium hydroxide processing facility outside of China.
Converting spodumene from the Greenbushes mine to battery-grade lithium, the four processing trains will give the plant a capacity of 100,000 metric tonnes per annum.
It is estimated the capital expenditure for trains three and four will be more than US$1 billion building on the capital expenditure for trains one and two, which was also more than US$1 billion.
The expansion of the plant is a boost for local jobs and businesses.
Construction is expected to begin immediately, with the first product from the expansion expected in 2026.
At its peak, construction on the expansion is expected to support a workforce of around 1,000.
Albemarle is developing a high quality, sustainable workforce accommodation precinct near Australind, at a cost of more than $140 million. Over time, the precinct will transition to a permanent residential estate.
The plant’s first two processing trains have an operational workforce of 480 people, 90 per cent of whom live in the region.
Once complete, trains three and four are expected to increase the total operational workforce to 850.
The high quality, high value lithium products produced at the plant are in demand from some of the world’s top manufacturers of electric vehicles, and electronic and energy storage products.
WA Premier Mark McGowan said the expansion of the plant is great news for the region, the state and Australia.
“For years to come, Albemarle’s lithium hydroxide plant will support local jobs, grow advanced manufacturing in the South-West and deliver economic benefits for the whole State.”
State Development, Jobs and Trade Minister Roger Cook said as demand for battery and critical minerals continues to increase, so does supply chain opportunities for WA.
“The WA Government is committed to making sure the State capitalises on its status as the powerhouse of the nation’s battery and critical minerals sector and continues to grow its multi-billion dollar processing industry.”
Mines and Petroleum Minister Bill Johnston said Albemarle has been a lead player in the multi-billion dollar battery and critical minerals processing industry that WA has successfully established in less than a decade.
“We look forward to seeing Albemarle and the downstream processing industry continue to expand in WA.
“Guided by our Future Battery and Critical Minerals Industries Strategy, the WA Government is supporting the creation of mineral processing jobs and the development of new skills across the State.”