Li-S share price explodes on battery breakthrough

Li-S Energy’s share price has been up as much as 38% today after the company announced it’s moving closer to commercialising its unique tech with new battery cells that are significantly smaller, lighter and safer than current options.

Making its batteries even more attractive to the company’s target high-growth industries, Li-S Energy has developed 20-layer semi-solid state lithium sulfur (Li-S) batteries that can store the same amount of energy within almost half the size.

The company has done this by increasing the volumetric energy density of its third-generation (GEN3) batteries by 45% compared to its GEN2 lithium sulfur cells.

Space and weight matters

Volumetric energy density refers to the energy stored for a given amount of space. This means that as volumetric energy density increases a drone manufacturer, for example, can significantly reduce the physical size of the battery packs needed for the same energy stored. Conversely, the manufacturer could increase the energy stored in a given space.

Li-S Energy (ASX:LIS)’s new GEN3 cells demonstrate a volumetric energy density of 540 Watt-hours/litre (Wh/l) and a gravimetric energy density of over 400 Watt-hours per kilogram (Wh/kg), with the cells being built in the company’s semi-automated Phase 2 facility at Deakin University.

Not just an improvement on the company’s GEN2 batteries, the new cells nearly double the gravimetric energy density of current and widely used lithium ion (Li-ion) cells. They also match Li-ion cells’ volumetric energy density.

The considerably higher gravimetric energy density makes the batteries far lighter, giving product manufacturers the choice of having the same energy/range with half the weight. Conversely, they enable the battery of an equal weight to store more energy.

Set for lift-off

Li-S says that based on the enquiries it’s received so far, it anticipates high-value partners in drones and e-aviation, where weight is critical, will show even more interest in its tech.

These are sectors in which the company has already established collaboration partners, including leading US e-aviation company magniX which delivers a range of revolutionary propulsion solutions. MagniX was also one of only two companies chosen by NASA to demonstrate electric aircraft propulsion (EAP) technologies and was awarded US$74 million as part of NASA’s electrified aircraft propulsion (EAP) project that’s part of a program aiming to advance e-aviation.

With net zero targets driving the move to renewable energy, the combined e-aviation and drone battery market alone is expected to exceed A$48 billion per year by 2035, according to growth forecasts by international research organisations IDTechEXand Precedence Research.

Another major advantage is that the new GEN3 cells are built using a low-flammability electrolyte.

This makes the new cells inherently safer than traditional lithium sulfur and lithium-ion cells that use a higher flammability electrolyte.

Also boosting the batteries’ safety and cycle life is the company’s patented Li-nanomesh technology, which incorporates Boron Nitride Nanotubes (BNNTs).

Commercial samples coming soon

Li-S Energy CEO, Lee Finniear commented:

“The development of these new battery cells is another validation of the strength of our scientific and technical teams, and our collaboration with Deakin University and other Australian and international institutions.

“This outcome demonstrates the strength of our progress over the last year. In the coming months we look forward to commencing the production of commercial samples for our partners.”

On front foot

Li-S Energy is a pioneer of Australia’s emerging domestic battery supply chain, developing lighter batteries that eliminate the heavy metals like nickel, colbalt and manganese used in today’s Li-ion batteries. Lithium sulfur (Li-S) batteries instead use sulfur which is more abundant, low-cost and sustainable.

The news of Li-S’s latest leap forward comes just two months after Minister for Science and Industry Ed Husic launched Australia’s first National Battery Strategy to help the fledgling domestic industry, saying “Our general approach should be one where if we mine it here, we should make it here”.

Next steps

Li-S Energy’s development team is now working to develop the cell cycle testing and characterisation results to produce an industry standard datasheet on the new 20-layer cells.

The company is also continuing to progress its R&D on full-solid-state electrolytes in a co-funded project within the ARC Research Hub for Safe and Reliable Energy at Deakin, where the company aims to create with its university collaborators a full-solid-state Li-S battery.

This article was developed in collaboration with Li-S Energy a Stockhead advertiser at the time of publishing.

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.