ChemX (ASX:CMX) strengthens global footprint with new patent and advances HiPurA® pilot plant

ChemX (ASX:CMX) strengthens global footprint with new patent and advances HiPurA® pilot plant

September 23, 2024 Off By MarketOpen

ChemX Materials (ASX:CMX) has once again captured attention with the grant of its HiPurA® High Purity Alumina (HPA) patent in New Zealand.

This latest development reinforces ChemX’s leadership in the critical materials industry, particularly in producing 4N (99.99%) and 5N (99.999%) HPA.

Despite this important progress in Australasia, the company is encountering delays in the commissioning of its pilot plant in Western Australia.

However, ChemX is showing determination and resilience as it navigates these challenges, working steadily to overcome them.

Patent Wins Strengthen ChemX’s Competitive Edge

Building on the earlier Australian patent, this New Zealand win marks another significant milestone in ChemX’s strategy to become a key supplier of high-purity materials for advanced industries, including LEDs, semiconductors, and electric vehicles.

CEO Peter Lee emphasised the importance of these patents, saying, “Patent awards continue to underpin the global rollout of ChemX’s HiPurA® technology, and the Company looks forward to accelerating its commercialisation strategy in key markets following the successful commissioning of the Pilot Plant.”

With patent applications pending in further international jurisdictions, the company is ensuring it can move forward globally, particularly targeting key markets in the United States, Korea, and Japan.

R&D Funding Keeps Momentum Going

The company also secured A$191,935 as part of a loan facility from Radium Capital, linked to their estimated R&D tax refund. This is the second tranche of funding, bringing the total received to A$441,935.

These funds are crucial for keeping ChemX on track with its pilot plant operations, despite some setbacks.

Pilot Plant Delays But Progress Continues

ChemX’s HiPurA® Pilot Plant is poised to play a vital role in the company’s future, but it hasn’t been smooth sailing. Delays in receiving key equipment and electrical infrastructure have slowed progress.

As CEO Peter Lee put it, “Unfortunate delays experienced within key process equipment deliveries and electrical infrastructure works were disappointing for ChemX.”

However, ChemX is far from idle, having advanced safety measures and optimised control systems while awaiting the necessary infrastructure.

The installation of double containment bunds, additional storage vessels, and enhanced safety protocols underscores their commitment to ensuring operational readiness.

The company expects the Reagent delivery system to be fully operational by October 2024, allowing them to move forward with the commissioning.

What’s Next for ChemX?

As the global transition to clean energy continues, ChemX’s HiPurA® technology offers a low-energy, low-cost solution for producing high-purity alumina, a key component in the manufacture of advanced technologies.

“A key advantage of the patented HiPurA® process is that it is not tied to mine development and related approvals,” Lee added, emphasising its versatility and appeal to global markets.

Despite the delays, ChemX is focused on building toward long-term success.

The company’s dedication to safety, process optimisation, and patent protection sets it apart in an increasingly competitive space.

While the wait for the full commissioning of the pilot plant continues, ChemX is ensuring that it is ready to seize future opportunities as soon as the infrastructure is in place.

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