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As global electrification continues to ramp up, decision makers are increasingly paying attention to more stable and responsible sources of raw materials, particularly for electric vehicle (EV) batteries, according to Element 25 (ASX:E25) Managing Director Justin Brown.

“Stakeholders in the electrification of the vehicle fleet are looking for carmakers to use raw materials from areas that have tight controls on environmental and governance issues,” Brown said. “For example, if you source your manganese from Australia, you have a much better chance of understanding the standards that are applied to the extraction of the material, in terms of environmental and social governance, than you do perhaps in certain countries in other parts of the world.”

Element 25 owns and operates the Butcherbird project in Western Australia. Butcherbird hosts the largest onshore manganese deposit in Australia and began producing high-quality manganese concentrate in 2021.

The company’s next step is building a high-purity manganese sulphate monohydrate (HPSMSM) facility in Louisiana, US, that it will feed with concentrate from Butcherbird in order to supply the EV battery market. Element 25 currently has offtake agreements with global EV manufacturers General Motors (NYSE:GM) and Stellantis (NYSE:STLA) for its low-carbon HPSMSM.

“It’s an exciting time for manganese,” Brown said. “You’re going to need especially more manganese as the battery chemistry shifts to more stable raw material supply chains, of which manganese promises to play a really important part.”

Watch the full interview with Justin Brown, managing director of Element 25, above.

The information contained here is for information purposes only and is not to be construed as an offer or solicitation for the sale or purchase of securities. Readers should conduct their own research for all information publicly available concerning the company. Prior to making any investment decision, it is recommended that readers consult directly with Element 25 and seek advice from a qualified investment advisor.

This interview may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, receipt of property titles, etc. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements. The issuer relies upon litigation protection for forward-looking statements. Investing in companies comes with uncertainties as market values can fluctuate.

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