Lithium Universe acquiring cutting-edge solar panel recycling technology

The acquisition by Lithium Universe of innovative solar panel recycling technology could help address low recycling rates.

Lithium Universe has entered a binding agreement to acquire the global rights to Microwave Joule Heating Technology for recycling spent solar panels. Pic: Getty Images

• Lithium Universe acquiring rights to patented solar panel recycling technology developed at Macquarie University

• Tech uses microwaves to selectively heat silicon enabling easy delamination and potential recovery of valuable materials

• Process is expected to be more efficient and environmentally friendly compared to traditional processes

Special Report: Lithium Universe has entered into a binding agreement to acquire the global rights to a patented photovoltaic solar panel recycling technology that addresses the issue of waste from spent solar panels.

Under the agreement, the company will acquire Australian-incorporated holding company New Age Minerals to secure exclusive licensing rights to Microwave Joule Heating Technology (MJHT) under an agreement with Macquarie University, which developed it.

MJHT uses microwave technology to selectively heat silicon to soften the EVA encapsulant in solar panels, enabling easy delamination and potential recovery of valuable materials at room temperature.

This avoids the need for extreme heat (up to 1400 degrees C) that’s typically required to separate materials like glass and silicon as well as the use of costly hazardous chemicals such as nitric acid, sulphuric acid and hydrogen fluoride used in traditional processes.

Adding interest for Lithium Universe (ASX:LU7), delamination enables selective separation of materials without the need for mechanical crushing, which often results in cross-contaminated material and lower recovery rates.

Tech softens plastic encapsulant, enabling delamination of solar cells. Pic: Lithium Universe

It is also particularly effective for the recovery of silver as it preserves the silver contacts embedded within the cell layers, enabling nearly complete extraction.

This is hugely important as growing demand for silver in industrial uses has meant that the market now faces supply shortfalls, which leads to significant price increases.

“I am thrilled about the acquisition of Macquarie University’s Microwave Joule Heating Technology and the opportunity to potentially extract critical metals such as silver from solar panel recycling,” executive chairman Iggy Tan said.

“The need for effective PV recycling has never been greater, with only 15% of panels currently being recycled.

“The mass accumulation of solar panel waste in landfills is a growing problem, as valuable critical metals like silver, silicon, gallium and indium are left behind, contributing to both resource depletion and environmental harm.

“Microwave technology offers a promising solution to these challenges, enabling higher recovery rates and more sustainable recycling processes.

“We firmly believe that this technology represents the future of solar panel waste management.

“We are eager to collaborate with the Macquarie team to develop a more efficient and cost-effective recycling process.”

Solar panels in landfill. Pic: Lithium Universe

Addressing a growing issue

Being able to recycle solar panels neatly answers one of the biggest criticisms that has been levelled against the fastest growing source of renewable energy globally.

The global solar cell market is projected to hit US$39.81bn by 2037 growing at a compound annual growth rate of about 8.2%.

This growth is clearly illustrated by the Clean Energy Council reporting that 12.4% of Australia's electricity generation in 2024 came from rooftop solar.

While there is little doubt the rapid adoption of solar power has been one of the key planks in the growth of renewable energy, it has been accompanied by one criticism, namely the poor rate of recycling used solar panels.

As such panels have a life of 25-30 years, the industry will increasingly face the growing challenge of managing solar panel waste and recovering valuable materials.

Currently, just 15% of used panels are recycled – with the rest accumulating in landfills – due to complex processes, high-temperature furnaces, toxic chemicals and poor recovery yields required for traditional processes.

This is concerning as the International Energy Agency has flagged that global waste PV modules will amount to 1.7-8Mt cumulatively by 2030 and 60-78Mt cumulatively by 2050.

Australia is expected to accumulate 1Mt of solar panel waste worth more than $1bn by 2035 with the IEA warning of a “tsunami of solar waste” about to hit the country.

Panels can contain harmful materials like cadmium and lead, which may leak into the ground and water when dumped in landfills.

Recycling panels enables the recovery of valuable minerals such as silver, silicon, gallium and indium while cutting down on pollution.

Growing market

Being able to recycle solar panels in a more efficient and environmentally manner will enable LU7 to tap into the expected growth in solar panel recycling, which is expected to be lucrative due to the recovery of critical minerals.

The market for recyclable materials from end-of-life solar panels s projected to reach over $2.7 billion by 2030 and could approach $80 billion by 2050, according to Rystad Energy.

Recovering such material can also offset the need for costly and environmentally damaging virgin material extraction while reducing reliance on foreign sources of critical minerals.

Additionally, research has demonstrated that up to 98% of silver and nearly all of copper, lead, and other valuable metals can be recovered efficiently, enhancing the profitability of the recycling industry.

The company aims to help accelerate the research and development of MJHT and develop a commercialisation pathway.

It will leverage the extensive experience of its board and management in the chemical extraction of critical materials as well as pilot plants, plant design, and feasibility studies to evaluate the viability of high-yield recovery efforts aimed at extracting valuable materials like silver, silicon, and other critical metals from end-of-life modules.

LU7 is also keen to investigate the use of the technology to the calcination and sulphation of spodumene at its planned Bécancour lithium refinery in Quebec, Canada, as it could reduce heating costs and lower the cost of materials used in construction.

This article was developed in collaboration with Lithium Universe, a Stockhead advertiser at the time of publishing.

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.

Originally published as Lithium Universe acquiring cutting-edge solar panel recycling technology