Mangrove Lithium Powers Up with New $35 Million in Capital

Mangrove Lithium has closed a $35 million financing round to begin construction of a Canada-based lithium refining plant.

Mangrove Lithium specializes in converting lithium from various feedstocks into battery-grade lithium hydroxide and lithium carbonate. The company’s modular and patented electrochemical refining technology produces high-purity lithium at a lower cost while reducing the environmental impact compared to conventional refining methods. 

The company’s new facility is already under construction near Vancouver in Delta, British Columbia, and is expected to be operational by late 2025. Once completed, it will produce enough battery-grade materials to power approximately 25,000 electric vehicles annually.

According to Mangrove Lithium, the Delta plant will be the first of its kind in North America, producing high-purity lithium hydroxide and lithium carbonate through the company’s proprietary electrochemical process. This method eliminates harmful reagents and reduces waste, significantly cutting production costs and the carbon footprint associated with traditional lithium refining processes.

Founded in 2017 by Saad Dara (CEO), Mangrove Lithium is headquartered in Vancouver, Canada.

“Establishing North America’s first electrochemical lithium refining facility marks a key milestone in securing the continent’s battery supply chain,” said Mr. Dara. “Our Delta plant will help meet the growing demand for battery-grade lithium while enhancing energy independence amid rising geopolitical uncertainties.”

Mangrove’s new facility comes amid China’s proposed export ban on lithium processing technology and highlights the importance of building and expanding North America’s lithium supply chain.

“Mass adoption of electric vehicles is key to a clean energy future,” said Carmichael Roberts of Breakthrough Energy Ventures. “Mangrove’s innovation reduces the carbon footprint of lithium production while driving down costs, creating a more sustainable supply chain.”

Participants in this funding round include new investors Mitsubishi Corporation, Asahi Kasei Corporation, InBC Investment Corp., Orion Industrial Ventures, and Export Development Canada. Also participating were existing investors Breakthrough Energy Ventures, BMW i Ventures, and BDC Capital.

Breakthrough Energy Ventures focuses on funding companies that aim to reduce greenhouse gas emissions. Its most recent fund, Breakthrough Energy Ventures II LP, closed in January 2021 with $1 billion in committed capital. Founded in 2015, the firm is headquartered in Kirkland, Washington.

BMW i Ventures invests in early to growth-stage companies operating in the automotive, sustainability, manufacturing, and supply chain sectors. With offices in Silicon Valley and Munich, the firm was founded in 2011 and has invested in over 75 startups.