{kanada_flagge}Just days after its public listing, Canada-based First Phosphate Corp (CSE: PHOS; FRA: A3DQCH) has entered into a far-reaching collaboration agreement with Prayon SA of Engis, Belgium. Prayon is a leading global producer and technology provider in the purified phosphoric acid sector. Prayon is involved in the food grade sector and by extension into LFP battery grade sector as well.
{kanada_flagge}Just days after its public listing, Canada-based First Phosphate Corp (CSE: PHOS; FRA: A3DQCH) has entered into a far-reaching collaboration agreement with Prayon SA of Engis, Belgium. Prayon is a leading global producer and technology provider in the purified phosphoric acid sector. Prayon is involved in the food grade sector and by extension into LFP battery grade sector as well.
First Phosphate and Prayon have committed by memorandum of understanging to explore the potential of a long-term offtake agreement for phosphate concentrate to be produced by First Phospahte in its eventual Quebec mining operations. The agreement also allows First Phosphate to be able to toll process its phosphate concentrate to batery-grade purified phosphoric acid at Prayon’s facilities. As to the bigger picture, the partners plan to explore the development of a facility to produce LFP-grade phosphoric acid and even active LFP cathode material in Quebec. Prayon’s technology is used to produce phosphoric acid at 130 sites worldwide. In addition, Prayon operates five of its own plants. https://www.prayon.com/en/
Commenting on the signing of the MOU, Marc Collin, Prayon’s Chief Technology Officer said: “We are excited to partner with First Phosphate and test our recognized technologies for the production and processing of high quality phosphoric acid to supply the LFP battery industry in North America. The opportunity to partner with First Phosphate is an important step in our global diversification initiatives.”
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Peter Kent, President of First Phosphate stated, “LFP battery is already a leading globally accepted battery chemistry, but the supply of domestic production in Europe and North America is still limited. With today’s announcement, we are laying the groundwork to build production capacity in North America.”
Prayon is familiar with the production of LFP cathode active material and has expressed interest in working with First Phosphate to explore the feasibility of an LFP cathode active material production facility for the North American market in Quebec, Canada. Prayon requires phosphate concentrate and is interested in acquiring concentrate from First Phosphate’s eventual mining operations, subject to meeting specifications. This feedstock would be processed into commercial grade phosphoric acid (MGA) and then purified phosphoric acid (PPA) at Prayon’s plant in Engis, Belgium.
The two companies are reviewing a production facility for LFP-grade phosphoric acid at the Quebec site.
First Phosphate is considering developing its own battery-grade (LFP) phosphoric acid production facility for its own use in the manufacture of LFP cathode active material. First Phosphate and Prayon have agreed to discuss terms for a license of Prayon’s technological expertise in the production of commercial-grade and LFP-grade phosphoric acid to enable First Phosphate to build its own phosphoric acid plant in Quebec, Canada. The manufacturing process would be based on Prayon’s environmentally friendly, safe and solvent-free clean technologies, including options for full gypsum recycling.
Bottom line: the collaboration between startup First Phosphate and global player Prayon is a game changer from an entrepreneurial standpoint. Moreover, First Phosphate and Prayon should have strong political support given that both Belgium and Canada are French speaking countries and members of the Francophonie. Quebec politicians have made it clear that the maintenance of the French language is a clear objective for Quebec as its battery industry develops. The two partners have announced that they will work directly with the governments of Quebec, Canada, the United States, Wallonia, Belgium and Europe. The declared goal is “to enable Europe and North America to become independent of green energy and important minerals”. As of Feb. 15, the Wallonie Entreprendre website reports that Belgium has just secured EUR 100 million in funding from a newly launched European Investment Bank pot. The fund is intended to help “promising technology startups” compete globally against foreign competitors. EUR 25 million in funding will be distributed by Wallonie Entreprendre in Wallonia. Perhaps the political support will be supplemented by financial backing?
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