Rock Tech partners with Schwenk to turn lithium by-products into cement additives, cutting costs and increasing profitability
Rock Tech Lithium Inc. (TSXV: RCK) (OTCQX: RCKTF) (FWB: RJIB) has signed a Memorandum of Understanding (MoU) with Schwenk Zement GmbH & Co. KG (Schwenk), a leading German cement manufacturer, to use lithium production by-products from Rock Tech’s Guben Converter for use in Schwenk’s cement manufacturing. This innovative partnership promises significant environmental and economic benefits by reducing carbon emissions and creating a new revenue stream. It is therefore fully in line with the German government’s National Circular Economy Strategy, which was adopted in December. One of the strategy’s objectives is to increase the use of industrial by-products in cement production.
“This partnership is a testament to our commitment to sustainability and formation of a circular economy,” said Kerstin Wedemann, Chief Operations and Legal Office at Rock Tech. “By transforming waste into value, we enhance our profitability and support the cement industry’s decarbonization efforts.”
“Ensuring the future supply of sufficient quantities of high-quality cement grinding materials is of great strategic importance for Schwenk. The LSC (Leached Spodumene Concentrate) produced during the operation of the planned Converter in Guben represents an interesting and regionally available source of secondary raw materials,” says Johan Trenkwalder, Member of the Management Board Schwenk Germany
Environmental and economic benefits
The primary objective of the partnership is to develop industrial applications for residues generated from Rock Tech’s Lithium-Hydroxide production, specifically leach residues. During initial studies conducted by the Institute of Technologies and Economics of Lithium (ITEL), the leach residues demonstrated potential as Supplementary Cementitious Materials (SCM) for use in cement manufacturing, offering the following benefits:
New revenue stream and improved economics: Rock Tech will sell its by-products to Schwenk, thereby creating an additional income stream. The parties have agreed on key commercial terms, including offtake pricing for the product
Lower carbon emissions: Using the leach residues as SCMs in cement production significantly reduces CO₂ emissions for Schwenk and reduces dependency on other SCMs from coal-based-energy production, which will be less widely available in the future
Cost savings: Avoiding leach residue transportation and disposal lowers Rock Tech’s annual operational expenditures by c. 7% and reduces the Guben Converter environmental impact
Upon the successful ramp-up of Rock Techs’ Guben Converter, Schwenk plans to invest into state-of-the-art facilities for drying, grinding, and storing leach residues from Lithium production. By 2029, Schwenk aims to use up to 200000 t of by-products annually, helping Rock Tech achieve its zero-waste goals.
A Sustainable Partnership
The agreement outlines that Schwenk eventually intends to offtake leach residues from Rock Tech’s Guben Converter. During the initial ramp-up phase, flexibility is prioritized, including the option of temporarily utilizing residues in the high-temperature cement processes, if required. To facilitate the widespread adoption of this innovation, both parties will jointly pursue critical certifications, including REACH compliance and approvals from the German Institute for Construction Technology (DIBt). The certification process is expected to take up to 1.5 years. As part of the agreement, both parties agree to exclusive cooperation for the duration of the agreement.
