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Highlights

  • Calix signed an MOU and agreement with a major alumina company to advance ZEAL electric calcination technology for near-zero emissions alumina.

  • The pilot-scale testing and pre-FEED study are expected to deliver more than AUD 1.0 million in revenue.

  • CXL shares rose 3.66% to AUD 0.425 on 3 September 2025 following the announcement.

Calix Limited (ASX:CXL) has entered into a memorandum of understanding (MOU) and signed a pilot-scale testing agreement with a leading alumina producer, aimed at advancing electric calcination as a near-zero emissions solution for alumina refining.

The collaboration focuses on Calix’s Zero Emissions Alumina (ZEAL) technology, which seeks to replace fossil fuel-based heating with electric calcination in the production of alumina. This development could significantly reduce carbon emissions in the aluminium supply chain, one of the most energy-intensive industries globally.

Material Testing and Pre-FEED Study

Under the agreement, Calix will conduct a pilot-scale material testing program and a pre-front-end engineering design (pre-FEED) study at its Technology Centre in Bacchus Marsh, Victoria. These initiatives are expected to generate more than AUD 1.0 million in revenue.

The testing program will evaluate the feasibility of producing smelter-grade alumina using feedstock supplied by the alumina partner. Meanwhile, the pre-FEED study will establish the design basis for potential commercial-scale deployment of ZEAL technology within a refinery.

Calix retains all intellectual property rights associated with its core technology and will continue to develop ZEAL as a solution for the alumina industry more broadly.

ZEAL’s Role in Decarbonising Alumina

ZEAL builds on Calix’s proprietary platform technology to create a pathway for zero scope 1 emissions in the calcination of bauxite to alumina. Electric heating, as an alternative to fossil fuel combustion, offers efficiency gains and the ability to generate high-purity steam for reuse within the process.

The technology also enables more precise heating control, which may enhance product yields, reduce particle breakage, and improve overall process efficiency. 

Industry Context

CXL press released noted that aluminium plays a vital role across aviation, defence, energy, and manufacturing sectors. Its production begins with refining bauxite into alumina before smelting it into aluminium metal. The global alumina market, valued at over USD 45 billion in 2022, is projected to grow to approximately USD 72 billion by 2030. The wider aluminium market is forecast to expand from USD 250 billion in 2024 to USD 400 billion by 2032.

However, aluminium production contributes around 1.1 billion tonnes of CO₂ annually, accounting for about 2% of global industrial emissions. The calcination stage, requiring temperatures of ~1000°C, is a major source of these emissions.

Market Response

Investors responded positively to the news, with CXL shares rising 3.66% to close at AUD 0.425 on 3 September 2025.