NEO Battery Materials Ltd. ("NEO") has forged a strategic alliance with Lotus Energy Recycling, an Australian-based solar PV recycler. This collaboration is pivotal to NEO's commercialization strategy, as it ensures a secure and sustainable supply chain for essential raw materials. By partnering with Lotus, NEO positions itself to accelerate the development and market introduction of its innovative, low-cost silicon anode materials, which promise to significantly enhance the performance and longevity of lithium-ion batteries.

NEO and Lotus are set to collaborate on developing a silicon anode product for direct marketing to battery cell, electronics, and automotive manufacturers. The partnership will explore joint venture opportunities to establish a presence in North America’s silicon recycling sector. They plan to seek governmental funding for international cooperation in advanced manufacturing and clean technology, contingent on the availability of funds and alignment with specific criteria. This initiative aims to leverage both companies’ expertise to advance silicon technology and sustainability in key industries.

Lotus Energy utilizes proprietary recycling technology to recover solar silicon cells from end-of-life solar PV modules. This scalable process involves heat and chemical treatment without the use of hazardous solvents, reducing environmental risks and cutting down on manufacturing costs. The company has achieved impressive results, consistently delivering high-purity recycled PV nano silicon particles with purity levels exceeding 99.9%. This advancement underscores Lotus Energy’s commitment to sustainable and efficient recycling practices.

Lotus has deployed numerous solar projects ranging from commercial and industrial to residential applications. The company is on track to scale up its recycling capacity to 3,600 kg per year by the end of this year, with plans to expand to 120,000 kg annually at its Melbourne plant. Lotus Energy plans to expand its global footprint by establishing new production facilities in Sydney and Germany to cater to the growing demand for high-purity recycled PV nano silicon across diverse industrial and electronics sectors.

Mr. Anthony Vippond, Co-Founder and CEO of Lotus, expressed his enthusiasm about the collaboration with NEO Battery Materials. He highlighted their shared commitment to integrating nano- and micro-silicon into battery technology and the use of recycled materials to reduce environmental impact. Vippond anticipates significant advancements in the energy storage industry and aims for Lotus to play a key role in achieving substantial progress. He emphasized that these innovations are essential for renewables to effectively meet base load and peak demand energy requirements, underscoring the importance of their joint efforts in advancing sustainable energy solutions.

Mr. Spencer Huh, President and CEO of NEO Battery Materials, highlighted the strategic alignment of their new collaboration with Lotus with their sustainability, innovation, and supply chain resilience goals. He emphasized that this partnership, following their collaboration with INNOX eco-M, will deepen NEO's research into using recycled silicon as a primary raw material. Huh pointed out a study by the Korea Photovoltaic Industry Association (KOPIA) that anticipates significant volumes of end-of-life PV cells becoming available in the coming years.