01:01 PM EDT, 04/02/2024 (MT Newswires) -- Full Circle Lithium ( FCLIF ) , a U.S.-based lithium products manufacturer and recycler, on Tuesday said it signed a second detailed commercial term sheet, containing 9-month binding exclusivity, with IndustrialCo2, a specialty industrial and chemicals company, to extract lithium.

Initial lab work performed by FCL demonstrated that its proprietary direct lithium extraction processing technology successfully extracted lithium from IndustrialCo2's brine. Following the successful results of feasibility work, FCL would build a second commercial-scale plant and deploy it to IndustrialCo2's facilities, which would extract lithium from IndustrialCo2's brine and convert it to lithium chloride.

The company believes that up to 300 tonnes of lithium carbonate per year can be recovered from IndustrialCo2's brine. The target timeline for full commercial production at IndustrialCo2 is estimated to be the end of 2024.

"After our initial success with our first client we are building on our lithium midstream recycling business utilizing our scalable proprietary technology as well as our installed lithium carbonate refinery capacity. This is the backbone of our business and, if all technical and economic work is favourable, will provide significant potential value and necessary feedstock for our plant," chief executive Carlos Vicens said in a release.

The company's shares were last seen down C$0.015 to C$0.405 on the TSX Venture Exchange.

Price: 0.41, Change: -0.01, Percent Change: -3.57