Alkemy Advances Tees Valley Lithium Project with Cost Validation and Supply Agreements

Alkemy Capital (LSE:ALK) has reached an important development milestone at its Tees Valley Lithium (TVL) refinery in Teesside, following an independent assessment by Logic i that confirmed the capital cost estimates for its first lithium hydroxide processing unit are sound and competitive on a global scale. The review supports earlier conclusions that the project ranks among the more cost-efficient lithium developments worldwide, reinforcing its strategic appeal within Europe’s growing battery materials sector.

In parallel, the company has entered into a memorandum of understanding with Buxton Lime to establish a long-term supply framework for quicklime, a key input in lithium refining. The agreement also covers collaboration on handling systems and strengthening domestic supply chain capabilities.

Progress is also being made at the Billingham site, where discussions with nearby industrial operators are ongoing regarding shared infrastructure and utility services. Environmental and ecological assessments have produced no negative findings, helping to reduce project risk and support planned development timelines.

Despite these operational advances, Alkemy’s broader outlook remains constrained by its financial profile, including limited revenue generation, continued losses, negative free cash flow, and negative equity alongside elevated debt levels. However, market indicators provide some counterbalance, with the shares currently showing a strong upward trend and positive momentum. Valuation remains a challenge given the company’s loss-making position and absence of dividend support.

More about Alkemy Capital Investments Plc

Alkemy Capital Investments Plc focuses on building infrastructure for critical minerals essential to the global energy transition. Its primary asset, Tees Valley Lithium, is developing what is expected to be Europe’s first independent battery-grade lithium hydroxide refinery in Teesside, targeting supply to the rapidly expanding electric vehicle and battery manufacturing markets across the UK and Europe.