Alkemy Capital Investments Plc (LSE:ALK) has moved to strengthen the operational and compliance profile of its Tees Valley Lithium (TVL) project by entering into new UK-based partnerships focused on lithium recovery, recycled supply, and digital traceability. The agreements are designed to lift processing efficiency, cut waste, and reinforce the refinery’s credentials as a low-carbon, regulation-ready supplier to Europe’s battery and automotive industries.
TVL has signed a memorandum of understanding with Watercycle Technologies to introduce modular, on-site lithium recovery systems at its proposed refinery. The initiative could enable the recovery of roughly 800 tonnes of lithium carbonate equivalent each year—representing an estimated $16 million in potential value. In parallel, a separate framework arrangement outlines the supply of up to 50,000 tonnes of recycled lithium feedstock over a five-year period beginning in 2028, bolstering long-term feedstock security.
In addition, TVL has partnered with Circulor to implement batch-level digital tracking across its materials supply chain. The system will monitor provenance and recycled content, positioning the company to surpass upcoming EU Battery Regulation requirements for recycled lithium. The traceability platform is also aligned with standards adopted by major original equipment manufacturers, including Volvo, Ford, and Panasonic, enhancing TVL’s appeal to leading battery and EV producers.
From an investment perspective, the company’s outlook remains weighed down by financial headwinds. Alkemy continues to report limited revenue generation, sustained operating losses, negative free cash flow, and a balance sheet showing negative equity alongside rising debt levels.
However, market technical indicators provide some counterbalance, pointing to a firm upward trend and strengthening price momentum. Despite this, valuation metrics remain under pressure due to the group’s loss-making position and the absence of dividend support.
More about Alkemy Capital Investments Plc
Alkemy Capital Investments Plc is a UK-based developer of infrastructure projects tied to critical minerals essential for the energy transition. Through its wholly owned Tees Valley Lithium subsidiary, the company is progressing plans to establish what is intended to be Europe’s first standalone lithium hydroxide refinery, supplying battery-grade lithium chemicals to the region’s electric vehicle supply chain.
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