Lithium Australia NL's subsidiary VSPC Ltd. signed a memorandum of understanding with Beijing Saideli Technology Inc. Co. Ltd. to commercialize production of its lithium-ferro-phosphate, or LFP, cathode product.

Lithium Australia said Jan. 6 that the MOU includes the establishment of a supply chain for VSPC customers in China and a joint feasibility study for LFP production and supply outside China using VSPC proprietary process technology.

The company said demand for LFP batteries is expected to increase significantly over the next decade.

In December 2019, Lithium Australia announced that it formally established Soluna Australia Pty. Ltd., a 50/50 joint venture with DLG Power Battery (Shanghai) Co. Ltd.