Phoslock Environmental Technologies Ltd (ASX:PET, ABN 88 099 555 290), an Australian water treatment technology company, announced on 7 September 2026 that it has made significant progress in the development of a new family of clay-based phosphorus-binding products with lanthanum concentrations ranging from 10% to 25%. Laboratory testing has confirmed that the 20% lanthanum product demonstrates approximately four times the phosphorus-binding capacity of standard Phoslock, which contains 5% lanthanum. A Patent application has been filed, and field testing is now commencing.

About Phoslock Environmental Technologies

Phoslock Environmental Technologies Ltd (ASX:PET) is an Australian water treatment company that develops and commercialises lanthanum-modified bentonite clay products designed to bind phosphorus in water bodies, preventing or mitigating algal blooms and improving water quality. The company's principal product is Phoslock, a proprietary 5% lanthanum clay product used in lake and waterway restoration projects globally. The company is headquartered in Castle Hill, NSW, and trades as Phoslock Water Solutions on its website at petwatersolutions.com.

New Product Development Update — Released 7 September 2026

The new product family consists of clay-based phosphorus-binding materials with lanthanum concentrations of 10%, 15%, 20%, and 25%. Laboratory testing at pilot scale has produced results where each product demonstrated phosphorus-binding performance close to its theoretical maximum, confirming the direct relationship between lanthanum concentration and phosphorus-binding capacity. The 20% lanthanum product has demonstrated approximately four times the phosphorus-binding capacity of standard Phoslock (5% lanthanum). Critically, all products tested have demonstrated acceptably low release of free lanthanum ions into treated water, which is a key regulatory and safety requirement.

A 2-tonne test batch of the 10% product was successfully produced in April using the company's existing commercial Manufacturing plant. Laboratory testing of this production material confirmed phosphorus-binding and free-lanthanum characteristics consistent with pilot-scale results, providing evidence that the new products can be manufactured using existing infrastructure with only minor modifications. A further 2-tonne run of the 10% product and a 2-tonne run of the 20% product are planned for September 2026.

The development program is progressing from laboratory and production-scale validation toward bulk field testing. Testing of the 10% product in ponds is commencing, including a 1-tonne sample sent to the United States for testing under the supervision of Orion. A fishpond application in Shanghai is planned for September using the 10% product, with independent analytical validation by a Chinese research team. A patent application has been submitted to protect the intellectual property. The company believes that, if field testing and remaining development programs are successful, first commercial sales of the new products could potentially occur in 2027. The company noted that the substantially higher phosphorus-binding capacity has the potential to change the Economics of phosphorus removal for both customers and the company itself.

Industry Context

Phosphorus runoff from agricultural and urban sources is one of the leading causes of eutrophication and harmful algal blooms in water bodies globally. The ability to significantly increase the phosphorus-binding capacity of lanthanum-clay products without increasing the Volume of material required could substantially improve the economics and application efficiency of in-lake phosphorus treatment. The Phoslock technology has been applied in hundreds of water bodies globally, and the development of a higher-performance product family could expand the addressable market for the company, particularly for large water bodies where cost-per-unit-of-phosphorus-bound is a key procurement criterion.

Risks and Uncertainties

Phoslock Environmental Technologies has cautioned that successful commercialisation is not guaranteed, and that the new products must pass field testing before progressing to commercial deployment. The 2027 target for first commercial sales is aspirational and contingent on successful field testing outcomes in both the United States and China, regulatory acceptance of the new formulations in key markets, and customer adoption. The patent application provides early intellectual property protection, but the patent may face challenges or competition from alternative technologies.