Hertz Lithium Exercises Option To License Lithium Extraction Tech From Penn State

FULL DISCLOSURE: This is sponsored content for Hertz Lithium.

Hertz Lithium (CSE: HZ) this morning is reporting that it has exercised an option to obtain a license to tech developed by Penn State related to the extraction of lithium from alpha-spodumene. The tech is said to be a novel process of extraction, focused on leaching the lithium from spodumene, rather than using conventional heating methods.

The option to the tech was originally acquired by Hertz back in August 2022 in a deal signed with the Penn State Research Foundation. Negotiations are now underway for a licensing agreement, which be a worldwide, remuneration-bearing agreement. Its currently expected that such a license will require royalty and milestone payments based on revenue generated by Hertz from the tech, while the two parties are expected to also further develop and scale the technology.

Spodumene mineral is currently the major source of high-purity lithium, but current tech does not allow for the leaching of lithium from spodumene. Instead, the ore is roasted to high temperatures to modify the crystal structure of the spodumene, which is energy intensive. The tech developed by Penn State meanwhile uses sodium hydroxide and then conventional roasting to make the spodumene soluble. Water leaching is then used to recover the water-soluble lithium, followed by an acid leach, which reportedly results in 90% recovery of lithium, while being more energy efficient and environmentally friendly than current extraction methods.

“We are thrilled at the opportunity to work with Penn State University and further develop their innovative technology for an improved technology for extracting lithium from hard rock sources. As many new hard rock lithium deposits are being discovered to meet the demand for lithium, we aim to work with Penn State University’s patent pending process to develop improved lithium extraction technologies for hard rock resources across the world,” commented Hertz Lithium CEO Kal Malhi.

The company also identified this morning that it has begun field exploration and project development of its Lucky Mica project in Arizona. Geochemical sampling and mapping of the known pegmatite outcrops are slated to occur under the current program, in addition to remote sensing and reinterpreting existing magnetic data.

Follow-up work in 2023 at Lucky Mica is to include trenching and channel sampling defined targets to identify grades of known pegmatites, while drilling is being considered for a fall 2023 program, which would be based on the success seen in initial exploration.

Hertz Lithium last traded at $0.25 on the CSE.


FULL DISCLOSURE: Hertz Lithium is a client of Canacom Group, the parent company of The Deep Dive. The author has been compensated to cover Hertz Lithium on The Deep Dive, with The Deep Dive having full editorial control. Not a recommendation to buy or sell. We may buy or sell securities in the company at any time. Always do additional research and consult a professional before purchasing a security.

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