Neometals Ltd Announces Exit from LiB Recycling Business

Neometals Ltd, an emerging sustainable battery materials producer based in West Perth, Australia, has announced its decision to exit the lithium-ion battery (LiB) recycling business. The company, listed on the ASX All Markets stock exchange, has entered into a binding term sheet with its joint venture partner, SMS Group GmbH (SMS), to transfer its 50% interests in both Primobius GmbH and ACN 630 589 507 Pty Ltd. Primobius is the incorporated plant-building joint venture with SMS, while ACN 630 is the holding company for patented LiB Recycling Technology.

The decision follows a comprehensive review of Neometals’ LiB recycling strategy. Under the binding term sheet, Neometals and SMS will use all reasonable efforts to finalize formal agreements by 31 August 2025. The proposed transaction involves Neometals divesting its interests in Primobius and ACN 630 to SMS. In return, Neometals will receive €5 million (approximately A$8.9 million) in cash, along with an ongoing commercial compensation fee. This fee will represent 2% of Primobius’ annual revenues, calculated for each fiscal year from 1 July 2025 to 30 June 2037.

Positive Developments at Barrambie Project

In other news, Neometals has reported high-grade gold results from drilling at its Barrambie Project in Western Australia. This development follows earlier reports of high-grade diamond drill intercepts at the same site. These promising results highlight Neometals’ potential in the metals and mining sector, aligning with its strategic focus on sustainable and innovative resource extraction.

Company Overview

Neometals Ltd operates within the materials sector, specifically in metals and mining. The company is committed to reducing reliance on traditional mining and processing methods, aligning with circular economic principles. Neometals serves a global customer base and maintains a market capitalization of 50,470,000 AUD. Despite a negative price-to-earnings ratio of -1.449, the company’s strategic initiatives and recent developments suggest potential for future growth.

For further information, Neometals can be contacted at info@neometals.com.au or through their website at www.neometals.com.au .