09:17 AM EDT, 09/17/2025 (MT Newswires) -- Rock Tech Lithium ( RCKTF ) said Wednesday it expects to reduce operating costs at the Guben lithium converter in Germany by 23% following a comprehensive update to its operational expenditure model.

The company expects an annual project OpEx reduction of about 27.7 million euros from the previous estimate of 120.8 million to 93.1 million euros.

The estimated reduction stems from a combination of updated cost inputs across several key areas, including transport and logistics, reagent procurement, and fixed fees.

Rock Tech said it expects increased energy costs to be mitigated by a sustainable long-term energy supply agreement currently under negotiation with Enertrag SE.

"For our equity and debt financing partners, OpEx is one of the most critical benchmarks for project viability," chief executive officer Mirco Wojnarowicz said. "By reducing our modeled costs by 23%, we are not only improving competitiveness but also significantly strengthening the financing case for Guben."

The company said it is also conducting a parallel review of capital expenditures.

Rock Tech Lithium's ( RCKTF ) share price fell 2.4% Tuesday to $0.82 on the TSXV.