UK Startup Altilium Secures £18.5m for EV Battery Refinery
Altilium, a UK clean technology company, has secured £18.5 million in grant funding from the government’s DRIVE35 Scale-Up Fund to build ACT3, the country’s first commercial refinery for recovering critical minerals from end-of-life electric vehicle batteries. Located in Plymouth, Devon, the facility will process 24,000 EV batteries annually using Altilium’s proprietary EcoCathode™ process, producing battery-grade materials with up to 74% lower carbon emissions than mined equivalents while supporting 70 new jobs.
The Funding and Its Impact
This funding comes through the DRIVE35 Scale-Up Fund, a program delivered by the Department for Business and Trade in partnership with the Advanced Propulsion Centre UK and Innovate UK. DRIVE35 is part of the UK government’s broader £2.5 billion commitment to accelerate domestic electric vehicle supply chain and battery manufacturing capacity.
At a time when private investment in European climate technology fell to a five-year low in early 2025, government-backed industrial grants have become crucial for companies building essential infrastructure for the energy transition.
Altilium’s ACT3 Plant
ACT3 will be built in Plymouth, Devon, where Altilium already operates the UK’s only hydrometallurgical pilot plant for EV battery recycling. Full construction is scheduled to begin in summer 2026, with commissioning targeted for the end of 2027.
Once operational, ACT3 will produce essential intermediate materials used in battery cell manufacturing:
- Nickel mixed hydroxide precipitate
- Lithium sulphate
- Graphite
These recycled materials have up to 74% lower carbon emissions compared to their mined equivalents.
"This funding marks a pivotal moment for Altilium and for the UK’s battery ecosystem," said Dr Christian Marston, COO and co-founder. "By scaling our recycling technology and building the UK’s first commercial facility of its kind, we are closing the loop on battery materials and enhancing the growth, productivity, and competitiveness of the UK automotive supply chain."