Li-Cycle pauses construction of Rochester Hub Project pending review

Li-Cycle is pausing construction work on its Rochester Hub project, pending completion of a comprehensive review of the go-forward strategy for the project. Engineering and procurement for the project are largely complete, with the current focus being on construction activities on site. Li-Cycle has recently experienced escalating construction costs. Accordingly, the company expects the aggregate cost for the current scope of the project to exceed its previously disclosed guidance. In light of these developments, the Board of Directors has decided to pause construction work on the Rochester Hub, pending a review of the project, including an evaluation of the go-forward phasing of its scope and budget, including construction strategy. Li-Cycle continues to work closely with the Department of Energy with respect to the $375M loan commitment through the Advanced Technology Vehicles Manufacturing program for the project, in conjunction with the project review. Li-Cycle expects to release its Q3 financial results on November 13, which will include additional updates on the company’s near-term plans and the project review process.