Avalon Advanced Materials Inc.

Avalon Advanced Materials Inc., headquartered in Toronto, specializes in developing sustainable critical minerals like lithium, rare earths, and zirconium. Supporting EVs and renewable energy, Avalon leads key projects such as Separation Rapids and Lake Superior Lithium to drive the global low-carbon transition.

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Avalon Advanced Materials Inc. is a Canadian mineral development company headquartered in Toronto, Ontario. Established in 1991, the company specializes in the exploration, evaluation, and development of critical and specialty minerals essential for modern technologies, including lithium, rare earth elements, and zirconium. Avalon is committed to supporting the global transition to a low-carbon economy by providing sustainable and responsibly sourced materials for industries such as electric vehicles (EVs), renewable energy, and advanced manufacturing.

The company operates several key projects across Canada, including the Separation Rapids Lithium Project, the Lake Superior Lithium Project, and the Nechalacho Rare Earth Elements (REE) & Zirconium Project. These initiatives are designed to meet the growing demand for critical minerals while adhering to the highest environmental and social standards. Avalon’s mission is to create long-term value for stakeholders by developing scalable, sustainable businesses that contribute to both economic growth and environmental stewardship.

Battery Technology

Avalon Advanced Materials Inc. plays a critical role in the battery value chain, particularly in the production of lithium-ion batteries, which are essential for EVs and renewable energy storage systems. The company’s flagship project, the Separation Rapids Lithium Project, focuses on extracting petalite, a lithium-bearing mineral, which is processed into lithium hydroxide—a key component for high-performance lithium-ion batteries.

Through its wholly-owned subsidiary, Lake Superior Lithium Inc., Avalon is developing Ontario’s first lithium hydroxide processing facility. This facility will use innovative and sustainable methods to convert lithium mineral concentrates into battery-grade lithium hydroxide, ensuring a stable supply of this critical material for North American battery manufacturers. Additionally, Avalon has partnered with Metso Corporation to integrate advanced, environmentally friendly processing technologies into its operations, further enhancing the sustainability of its lithium production.

Avalon’s efforts extend beyond lithium to include rare earth elements and zirconium, which are vital for other battery technologies and industrial applications. By focusing on the upstream and midstream segments of the battery supply chain, Avalon is positioning itself as a leader in the sustainable production of critical minerals.

Recent Projects

In recent years, Avalon Advanced Materials has made significant progress in advancing its lithium projects. In 2024, the company completed a Preliminary Economic Assessment (PEA) for its Thunder Bay lithium processing facility, revealing a post-tax net present value (NPV) of C$4.1 billion and an internal rate of return (IRR) of 48%. This facility is expected to play a pivotal role in meeting the growing demand for lithium hydroxide in North America.

Avalon also announced a strategic collaboration with Qualcomm in November 2024 to develop a digital infrastructure for mining operations, enhancing efficiency and sustainability. Additionally, the company secured $3.5 million in financing from its joint venture partner, SCR-Sibelco NV, to support the development of its lithium projects. These milestones underscore Avalon’s commitment to advancing sustainable mineral development and supporting the global energy transition.

Investors

Avalon Advanced Materials has attracted significant investment and partnerships to support its growth. SCR-Sibelco NV, a global leader in materials solutions, is Avalon’s largest shareholder, holding approximately 28.99% of the company’s common shares. This partnership has been instrumental in advancing Avalon’s lithium projects.

The company has also received funding from The Lind Partners, a New York-based institutional fund manager, and has established strategic collaborations with industry leaders such as Metso Corporation. These partnerships provide Avalon with the financial and technical resources needed to scale its operations and achieve its long-term goals.