Lithium Australia Ltd (ASX:LIT, OTC:LMMFF) CEO Simon Linge sits down with Proactive’s Jonathan Jackson to discuss the company’s first operating cash profit for its battery recycling operations in the fourth quarter of the 2024 financial year. This milestone was driven by the company's upstream 'fee-for-service' recycling model, which boosted revenue and reduced dependence on downstream commodity sales. The strategic shift to large-format lithium-ion battery (LIB) collections, along with safety and operational improvements, enhanced the unit economics. Linge highlighted the significance of achieving this profit despite low commodity prices, attributing success to growth in the fee-for-service model, which allowed for upfront revenue on improved terms. This revised commercial model supports ongoing joint development discussions with SungEel HiTech, aiming to scale operations in line with expected LIB collection volume growth. LIT has secured upstream battery feedstock and revenues through exclusive agreements with customers like LG Energy Solutions, Volvo and Hyundai Glovis. General Manager Steven Marshall noted the team effort and customer support that facilitated safe production and sustainable battery disposal. The improved unit economics were driven by increased large-format LIB collection volumes from exclusive agreements with leading OEMs, reducing exposure to market volatility. Envirostream, LIT’s recycling operation, saw a 74% increase in LIB collections from the previous quarter, collecting 241 tonnes of large-format LIBs and 66 tonnes of small-format batteries. The company expects continued growth, supported by discussions with SungEel HiTech for a joint venture to upgrade recycling equipment and expand processing capacity. #ProactiveInvestors #ASX #LithiumAustralia, #BatteryRecycling, #LithiumIonBatteries, #OperatingProfit, #Q4FY24, #FeeForService, #RevenueGrowth, #CommodityPrices, #LIBCollection, #SafetyImprovements, #OperationalEfficiency, #ExclusiveAgreements, #OEMs, #Envirostream, #SungEelHiTech, #JointVenture, #RecyclingEquipment, #ProcessingCapacity, #SustainableRecycling, #BatteryDisposal #invest #investing #investment #investor #stockmarket #stocks #stock #stockmarketnews