ChemX Materials provided an update on progress regarding its HiPurA High Purity Alumina (HPA) Micro Plant commissioning and Pilot Plant Pre-feasibility Study. High Purity Alumina HPA is a high value critical material used in lithium-ion batteries to manufacture ceramic separators, which provides increased thermal insulation for improved safety and charging. HPA is also a critical ingredient in the production of synthetic sapphire used in LEDs, semiconductors, and optical lenses.

HiPurA HPA Micro Plant ChemX has completed commissioning of the individual stages of its HPA Micro Plant and is now undergoing final stage integrated process commissioning. The key objectives from the Micro Plant operation are:Optimisation of process and controls under continuous operation; Achieving a 99.99% (4N) purity HPA on a consistent basis; Ongoing production of samples of HPA for customer qualification testing; Research and development on the development of additional products for assessment, including achieving a targeted 99.999% (5N) purity. The Micro Plant has been designed to be highly flexible and accommodate flowsheet modifications in anticipation of potential process improvements to achieve the Company's plans of producing a number of products including 5N (99.999%) HPA or higher specification.

HiPurA HPA Pilot Plant Pre-feasibility Study The HiPurA process is expected to produce HPA with significantly lower levels of energy and reagent usage, resulting in lower capital and operating costs than most incumbent and potential producers. The Pilot Plant PFS is progressing well, with several major milestones already achieved: Flowsheet extensively modelled to assess alternative reagents; Operating costs identified; Key equipment manufacturers engaged for quotation; Equipment and pilot plant sizing optimization currently under way. Throughout the PFS process work undertaken to date, the Company has identified several opportunities to optimise the process design, equipment modifications and scale.

These work streams will have a positive impact in terms of a reduction in capital and operating costs. As a result, the Company will extend completion of the PFS into Third Quarter 2022 to complete these work streams.