(Reuters) - Australia's Infinity Lithium Corp Ltd said on Monday it will collaborate with a unit of Germany's thyssenkrupp AG to explore the use of green hydrogen in producing lithium.
Green hydrogen is produced by splitting water molecules with renewable electricity and is seen as a way for heavy-emission industries such as mining and aviation to decarbonise.
The collaboration comes as lithium, an essential component of electric vehicles (EVs), is becoming an increasingly important metal, with EV demand surging globally as countries race to meet emission targets and move towards cleaner modes of transportation.
The firms will begin a pilot at a thyssenkrupp facility in Germany, with potential for the technology to be integrated into Infinity's San José lithium project in Spain, the Australian company said.
The company signed a supply agreement in June with South Korea's LG Energy Solution to supply battery-grade lithium hydroxide from the same project.
(Reporting by Harshita Swaminathan; Editing by Peter Cooney)