Altilium, a clean technology startup focused on sustainable recovery of critical battery materials, has secured £19 million in funding from the UK government through the DRIVE35 Scale-Up Fund, delivered by the Department for Business and Trade in partnership with the Advanced Propulsion Centre UK and Innovate UK. The funding will support construction of Altilium’s ACT3 recycling facility, described as the UK’s first commercial refinery for recovery of critical battery materials from end-of-life EV batteries.
Located in Plymouth, Devon, the ACT3 plant will have capacity to process 24,000 EV batteries per year. It will produce nickel mixed hydroxide precipitate, lithium sulphate and graphite, which are used in next-generation battery manufacturing. By recovering these materials from recycled feedstocks, it is establishing a domestic circular supply chain for low carbon battery materials, reducing reliance on imported raw materials and supporting the UK automotive sector.
Construction of the facility is expected to commence in summer 2026, with commissioning planned for the end of 2027. Once operational, ACT3 will produce approximately 5,200 tonnes per annum of nickel mixed hydroxide precipitate, 8,000 tonnes per annum of lithium sulphate and 5,400 tonnes per annum of graphite. The expansion is expected to create 70 new jobs in Plymouth and will support development of a future ACT4 recycling plant in Teesside with capacity to process 150,000 EV batteries per year.
Altilium has secured over £17 million in private investment to date, including investments from SQM, Marubeni Corporation and Mizuho Bank. Its hydrometallurgical recycling technology is capable of recovering over 95% of cathode and anode materials from battery waste and has been validated at pilot scale, supplying battery-grade materials for cell trials with JLR and Nissan. According to an independent lifecycle assessment, these recycled materials deliver up to 74% lower emissions than mined alternatives.
According to the Advanced Propulsion Centre UK, total battery scrap in the UK will reach 110,000 tonnes by 2035. The UK currently has no capacity for at-scale refining of battery waste, which is exported to Asia for processing. Demand for lithium in the UK is expected to increase by 1,100% by 2035.
This funding marks a pivotal moment for Altilium and for the UK’s battery ecosystem. By scaling our recycling technology and building the UK’s first commercial facility of its kind, we are closing the loop on battery materials and enhancing the growth, productivity and competitiveness of the UK automotive supply chain. We are grateful to the APC and the UK Government for this strong vote of confidence in our technology, our team and our role in building a domestic, circular battery supply chain.
