A new workers’ precinct is intended to bolster the expansion of Albemarle’s Kemerton lithium hydroxide processing plant over the coming years.
The $125.6 million project will encompass the development of 200 four-bed villas, as well as a lap pool, mini golf course, and large car park in Australind, WA.
Albemarle expects the Kemerton site to become one of the world’s largest lithium production facilities.
Albemarle’s Australian country manager Beverley East told the ABC that the development considered the ongoing rental pressures in the region.
“We’re really aware of the ongoing shortage of short-term accommodation and long-term residential housing in the south-west,” she said.
“And we were trying really hard to ensure that we don’t do anything that adds to that pressure that’s already in the market.”
The development project is also expected to see a second life, with plans to turn the village into a housing estate at a later date.
“This longer-term approach was influenced by community feedback and fresh analysis of Albemarle’s future workforce needs,” an Albemarle spokesperson told the ABC.
Albemarle has had an insatiable appetite for Australian lithium of late, just last week lodging a non-bonding takeover offer to Liontown Resources for $5.2 billion – which Liontown rejected.
In response, Albemarle began snapping up a stake in the company via on-market purchases made through its subsidiary RT Lithium. Albemarle last week held a 2.2 per cent stake in Liontown, but that chunk has now grown to roughly 4.3 per cent.
Liontown is currently developing Kathleen Valley lithium project, about which the company said there are few other lithium assets of comparable “scale, quality and mine life”. Liontown forecasts the Kathleen Valley project to become Australia’s biggest lithium mine.
The company also hold a number of high-calibre off-take agreements with partners in the battery sector that are appealing to Albemarle.
Last month, Albermarle president of energy storage, Eric Norris, told AFR that the company believed China, Europe and the US could not support their lithium ambitions without WA.
“We see Australia’s spodumene as being a very viable resource to support [(our)] European expansion strategy,” he said.