Cornish Lithium, a UK-based mineral exploration and development company, will construct a hydrometallurgical demonstration plant as part of efforts to build a UK supply of lithium and other battery metals after receiving £18 million ($23.97 million) from TechMet.

It described the investment as a "significant step forward" and a "key milestone" in its efforts to expand the UK's lithium supply sector.

Specifically, the investment will help it fast-track the development of its project portfolio in Cornwall, the UK, and to "significantly advance" its strategy of establishing a domestic supply of battery metals.

The plant will enable the company to optimise the low carbon Lepidico processing technology for which it secured a 15-year royalty-free license in 2020.

Jeremy Wrathall, chief executive officer and founder of Cornish Lithium, said the company had reached "an inflection point in its development" where larger-scale investment is required.

"As the world transitions towards electric vehicles, a material lithium supply gap is looming, especially in the UK given the requirement for an estimated 75,000 tonnes of lithium carbonate equivalent by 2035, according to The Faraday Institution," Wrathall said.

"Cornish Lithium intends to position itself as a key player in the necessary supply chains to bridge that gap."