Alkemy Capital loss widens as Tees Valley Lithium refinery advances

Alkemy Capital Investments PLC on Wednesday reported a widened interim loss as its Tees Valley Lithium subsidiary progressed plans for its first lithium refinery in Teesside.

The London-based critical minerals and energy transition-focused investment company said its pretax loss for the six months ended July 31 widened to £1.3 million from £1.1 million a year earlier.

Administrative expenses rose 15% to £872,856 from £756,298, while finance costs more than doubled to £482,594 from £210,638. This was partially offset by foreign exchange gains of £47,918, compared with a loss of £10,895 a year earlier.

Chair Paul Atherley said the company's wholly owned subsidiary, Tees Valley Lithium, had completed engineering for its first refinery train, designed to produce 25,000 tonnes of battery-grade lithium hydroxide annually, and relocated the project to Billingham, Teesside.

After the period end, TVL received an offer in principle for up to £18.3 million in UK government capital grant funding, subject to due diligence and a final grant agreement.

"Taken together, these steps take TVL from a well-engineered project towards one of national significance," Atherley said.

The company said it is working to complete the remaining elements of the project's funding package ahead of a final investment decision, which has been delayed from its previously anticipated first-quarter 2026 timetable.

Alkemy also intends to advance battery-grade graphite processing through Tees Valley Graphite and assess a potential manganese processing opportunity, while keeping the lithium refinery as its first priority, it said.

Shares in Alkemy were down 5.1% at 260.00 pence per share on Wednesday afternoon in London.

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