CXL - Calix Limited

[peter2]

Forgot to check my fav ESG stock today. I'm looking for another entry.

Price is almost at target level for reversal setup. (A-B = C-D)

 

[Garpal Gumnut]

Forgot to check my fav ESG stock today. I'm looking for another entry.

View attachment 142882

Price is almost at target level for reversal setup. (A-B = C-D)

Looks good @peter2

The fundamentals look good too with the recent $20m grant and tie-up with Pilbara.

All the best for you when you enter.

gg

 

[Dona Ferentes]

Forgot to check my fav ESG stock today. I'm looking for another entry

Six bucks is interesting. Buyers usually hovering.

 

[Dona Ferentes]

Six bucks is interesting. Buyers usually hovering.

But has slipped below that. Mid 5s.

There's a podcast from TechZero conference about the Calix process for iron ore. (Can't get link up, will look on their website)

The 'mad scientist' who could turn Australia's iron ore 'green'
00:00 / 27:10

 

[Dona Ferentes]

First up, the article mentions the Cement process:

Overlooked by Australian cement makers that were not incentivised to reduce their carbon footprint, CEO Phil Hodgson's company Calix headed for Europe, where it found an eager audience from cement manufacturers living under tightening carbon price regimes.

On Monday that audience extended to members of the European Parliament, who called through Lixhe {the Belgium LEILAC-2 plant} to learn more about Calix' direct separation technology. That technology is now the hope of the cement industry and highlights the changing focus of the carbon capture and storage industry [which] is increasingly focused on capturing, storing and in some cases utilising the carbon dioxide that will be emitted by producers of cement, plastics and steel....

.... Hodgson's tower is now treating 5 per cent of the cement produced at Lixhe by Heidelberg Cement and the plan is to demonstrate consistent operations for another year before building a full-scale model to test commercial viability...

"With carbon prices above €25 per tonne, I think we have a very attractive technology," he says. ''The heat required [for Calix' technology] should not be any higher than the heat already required by the cement plant, so from an operational cost perspective we should be no higher than a current cement plant.
''The only cost is the capital cost of building our facility.''

European carbon prices rallied from less than €5 ($8.20) in mid-2017 to more than €29 in July 2022.

 

[Dona Ferentes]

There's a podcast from TechZero conference about the Calix process for iron ore.
....The 'mad scientist' who could turn Australia's iron ore 'green.

The trademark feature of the Calix kiln is its ability to heat minerals to the exact temperature at which gases try to escape. As the gases escape they carve chambers and pores into the mineral structure, turning them into honeycomb-type shapes with a very high surface area. The high surface area makes the structures more reactive, which is a good thing in chemical processing.

Adaptations have .. been found for cement, lithium, crop protection and water treatment, but Calix's Dr Mark Sceats said the size of the global iron ore and steel industries meant that green iron could be Calix’s biggest opportunity yet.

Then on to the big one.

In its recent green iron trials, Calix has poured iron ore powder in the top of the inner metal tube and pumped in hydrogen at the bottom of the tube. As they mix inside the tube under heat, the hydrogen takes the oxygen from iron ore and forms harmless steam, while the pure iron falls to the bottom ready for steel-making. Dr Sceats said his process could be a cheap way to make low-carbon steel.

”The potential is for iron to become more economically viable in smaller communities,” Dr Sceats told Tech Zero. “You could imagine in the year 2050 that you have pretty much a steel furnace in every big town making iron, making steel – electric arc furnaces instead of huge factories."

The 'mad scientist' who could turn Australia's iron ore 'green' - Tech Zero

Meet the 73-year-old Australian scientist who's developed a special kiln that he reckons will solve Australia's iron ore emissions problems and deliver green iron. For more on the episode, visit the Tech Zero site on afr.com. AFR subscribers can also sign up for the weekly Carbon Challenge...

omny.fm

 

[Garpal Gumnut]

The trademark feature of the Calix kiln is its ability to heat minerals to the exact temperature at which gases try to escape. As the gases escape they carve chambers and pores into the mineral structure, turning them into honeycomb-type shapes with a very high surface area. The high surface area makes the structures more reactive, which is a good thing in chemical processing.

Adaptations have .. been found for cement, lithium, crop protection and water treatment, but Calix's Dr Mark Sceats said the size of the global iron ore and steel industries meant that green iron could be Calix’s biggest opportunity yet.

Then on to the big one.

In its recent green iron trials, Calix has poured iron ore powder in the top of the inner metal tube and pumped in hydrogen at the bottom of the tube. As they mix inside the tube under heat, the hydrogen takes the oxygen from iron ore and forms harmless steam, while the pure iron falls to the bottom ready for steel-making. Dr Sceats said his process could be a cheap way to make low-carbon steel.

The 'mad scientist' who could turn Australia's iron ore 'green' - Tech Zero

Meet the 73-year-old Australian scientist who's developed a special kiln that he reckons will solve Australia's iron ore emissions problems and deliver green iron. For more on the episode, visit the Tech Zero site on afr.com. AFR subscribers can also sign up for the weekly Carbon Challenge...

omny.fm

From where does the Hydrogen come?

gg

 

[Dona Ferentes]

From where does the Hydrogen come?

gg

Andrew Forrest

 

[Garpal Gumnut]

Andrew Forrest

Yesss...

The knee bone's attached to the thigh bone to the tune of the Pied Piper . H2 ... FeO2... H2O... Twiggy... H2... or am I missing something here?

gg

 

[Dona Ferentes]

The knee bone's attached to the thigh bone to the tune of the Pied Piper . H2 ... FeO2... H2O... Twiggy... H2... or am I missing something here?

gg

as mentioned in the podcast

 

[Dona Ferentes]

Calix is enthused about its process having an application with Pilbara PLS. Scoping study work was done by Lycopodium LYL

• Using Calix Limited’s (ASX:CXL) flash calcination technology, test-work has confirmed high calcination conversion rates (>95% for alpha to beta spodumene phase transformation) using fine flotation spodumene concentrate1 produced from Pilgangoora.
• The contained lithia content of the product is expected to increase from ~5.7-6.0% in spodumene concentrates to >36% in lithium phosphate salts, thereby optimising offshore product logistics, reducing associated carbon emissions, and minimising waste in the destination market.
• Scoping Study undertaken by Lycopodium Minerals has confirmed the technical viability of the Mid-Stream project to deploy a novel calcination technology and integrated chemical concentration process at the Pilgangoora Operation to produce a new endproduct, with the preferred product at this stage of study being lithium phosphate salt.

Pilbara PLS brought out an investor presentation on Friday. As well as fleshing out the Upstream and Downstream aspects of getting a lithium product to market, there's still a focus on the Midstream, which is where Calix comes in.

Conventional spodumene supply chain:
• Carbon intensive, shipping ~94% waste
• Aluminosilicates shipped to customer (>90% of export mass)
• Spodumene concentrate SC6.0
- 6.0% Li2O (2.80% lithium metal by mass)

Alternate spodumene supply chain:
• Reduced carbon intensity, apply renewable energy
• Aluminosilicate waste remains at mine site
• Lithium salts shipped
- >35% Li2O (>15% lithium metal by mass)

 

[So_Cynical]

The MOU with Pilbara is a big deal, 45% of the royalty stream could be a massive earner for half a century or more.

 

[Dona Ferentes]

The MOU with Pilbara is a big deal

Last paragraph

Pilbara Minerals and its project partner Calix were awarded a $20M grant under the Australian Government’s Modern Manufacturing Initiative (MMI) .. Manufacturing

Translation Stream to support the development of the MidStream Project. The grant value achieved was the maximum award value for the nationally contested scheme, providing a significant funding contribution and strong endorsement for the project. The award remains subject to the parties entering into a formal MMI funding agreement. Following the award of the grant, Pilbara Minerals and Calix have agreed key commercial terms for a JV in an updated binding Memorandum of Understanding (MoU). Key commercial terms agreed under the updated MoU were set out in the Company’s ASX Announcement dated 1 June 2022.

The JV will be formalised upon Pilbara Minerals and Calix finalising and entering into a formal JV Agreement which is expected to occur during the September 2022 Quarter.

 

[Dona Ferentes]

Annual report out. Going over the content, it is an evolving presentation of the already-disclosed technology/ies. Pilbara is coming along, and one quote caught my eye with the cement process:

BUT ….. we need to mitigate 1.5 billion tonnes pa process CO2 emissions = 3,000 LEILAC-3’s ... ~2 built every week from now until 2050

Still have $25M in cash at end of June

Commenting on the annual results, Calix’s Managing Director and CEO, Phil Hodgson, said:

“FY22 was a significant year for the development of the business, with our first “spin-out” investment in the CO2 business a stand-out deal which gave look through value for just one application of our technology, and advancement on multiple fronts in other applications.

Despite global inflation and conflict, the interest in technological solutions to environmental pressures continues to rise, and Calix is extremely well-placed to capitalise on its unique technology solutions. We have invested heavily in people, capital and services to enable us to be in this position, and we look forward to FY23 to continue to turn this investment into significant opportunity.”

 

[Garpal Gumnut]

Annual report out. Going over the content, it is an evolving presentation of the already-disclosed technology/ies. Pilbara is coming along, and one quote caught my eye with the cement process:


Still have $25M in cash at end of June

Commenting on the annual results, Calix’s Managing Director and CEO, Phil Hodgson, said:

Do this mob have Bell Potter quickgrow mix in their ascent?

I prefer mine from Bunnings.

gg

 

[Dona Ferentes]

Do this mob have Bell Potter quickgrow mix in their ascent?

Got it by the bagful.

 

[Dona Ferentes]

The JV will be formalised upon Pilbara Minerals and Calix finalising and entering into a formal JV Agreement which is expected to occur during the September 2022 Quarter.

am waiting for this..... October looms.

Most recently, CXL stated: "JV established (Demo plant, joint marketing of technology) -target CY 2022"

I think LEILAC-2 may be hampered by ultra-high energy pricing in Europe ... and dragging down the SP?

 

[Dona Ferentes]

Down in the basement

 

[Dona Ferentes]

Hence the hesitancy?

Calix announces global licence agreement with Heidelberg Materials and equity raising to accelerate commercialisation of Calix’s technology for industrial decarbonisation

Sydney, Australia | 19 October 2022

Australian environmental technology company, Calix Limited (ASX: CXL) announces today that Leilac, Calix’s 93% owned subsidiary focusing on decarbonisation of cement and lime, has signed a global licence agreement with Heidelberg Materials (FWB: HEI) for the use of the Leilac decarbonisation technology. Calix is also announcing a fully underwritten institutional Placement to raise A$60 million comprising the issue of 13.2 million shares at an issue price of A$4.55 per share; and a non-underwritten Share Purchase Plan to raise up to an additional A$20 million.

The technology licence fee is a first-of-a-kind for the industry, and comprises a royalty floor, variable component linked to carbon price/value, and a royalty cap linked to costs versus alternative technologies. The terms of the agreement with Heidelberg Materials require the royalty quantums to remain commercial-in-confidence.

 

[Dona Ferentes]

From the Placement, the $60million to be raised to be used thus:

1. Accelerate commercialisation of Leilac's cement and lime decarbonisation technology .............. A$38.0m
2. Construct a lithium salt demonstration processing plant in JV with Pilbara Minerals. .................. A$17.5m
3. ZESTY Green Iron / Steel –Plant Modifications, Further Trials and a FEED Study for 30kTpa Demonstration Facility ... A$2.5m
4. Transaction costs ~A$2.0m

• SPP proceeds will fund discretionary spend of up to $20m to accelerate alternative energy options - Electric, Alternative Fuels Development