Lithium 101: What You Need to Know About This Critical Mineral

Tees Valley Lithium’s latest report highlights our continued progress in developing the the UK's flagship lithium refining hub.

Lithium may be a tiny element, but it plays a huge role in the renewable energy transition. It’s the key ingredient in electric vehicle batteries, smartphones, and energy storage systems. But before lithium can power your life, it has to be refined.

Currently, lithium is extracted from two main sources: spodumene, found in Australia, and brine, located in the salt flats of South America.

But the processes are slightly different. Spodumene is mined, crushed, and then treated through acid-roasting. For brine extraction, salt-rich water is pumped from underground reservoirs into surface evaporation ponds, where, over several months, the water gradually evaporates, causing various salts to crystallize and separate.

At this stage, lithium concentrate generally contains only 5-6% lithium, while battery-grade lithium requires a purity of 99.99%. Today, roughly 75% of the world’s lithium is refined in China.

We have set out to change this and provide European cell manufacturers with a local, resilient supply chain.

The UK has two major competitive advantages; chemical parks and bad weather. Chemical parks, meaning dedicated production sites, and bad weather, meaning strong offshore winds.

Tees Valley Lithium aims to establish the UK’s first low-carbon lithium refinery. It is strategically located in a large chemical park in Teesside in the North East of England, which is connected to one of the world’s largest offshore wind farms, Dogger Bank.

TVL is a refiner not miner, building lithium supply chains in the UK and Europe, reducing reliance on a single dominant market, and supporting the global energy transition.

overview

The October 2025 Company Update outlines major developments from the Front-End Engineering Design (FEED) phase through to market information from SC Insights. With construction scheduled to begin in mid-2026, TVL remains on track to deliver battery-grade lithium hydroxide by early 2028.

Category
Corporate Report
Length
30 Pages
Published
1 October 2025
Focus Area
Project Development
Highlights from This Edition
Engineering Progress
FEED study advancing on schedule toward Final Investment Decision (Q1 2026).
Capital Efficiency
Estimated CAPEX now below $245m - the lowest capital intensity in Europe - with optimised design and modular construction.
Regional Growth
Supporting job creation, innovation, and sustainable industry in Teesside.
This is more than a refinery

It’s the foundation of Europe’s clean energy future.

Made in Teesside, built for tomorrow.