Aqua Metals, Inc. (AQMS): Business Model Canvas [Dec-2025 Updated]

You're looking at a company, Aqua Metals, Inc. (AQMS), right in the thick of a massive, necessary pivot: turning battery scrap into high-purity critical minerals using their patented AquaRefining™ process. Honestly, this is a classic pre-commercial technology play; the Q3 2025 operating costs hit $2.7 million, showing the 'high-burn' side of this high-potential bet, even after raising over $17.1 million. But the value proposition is compelling-offering a low-carbon alternative that saves customers roughly $1,100 per metric ton versus traditional refining. This Business Model Canvas distills exactly how Aqua Metals, Inc. plans to move from the pilot plant to securing those big, long-term off-take agreements; check out the details below.

Aqua Metals, Inc. (AQMS) - Canvas Business Model: Key Partnerships

You're looking at the structure of Aqua Metals, Inc. (AQMS) partnerships as of late 2025, which is all about securing feedstock and scaling the AquaRefining™ process. The strategy here is clearly about diversification across terrestrial recycling and emerging marine resources.

The core of the operational scaling relies on securing offtake agreements for the refined metals. The most significant is the relationship with 6K Energy, which is foundational for the commercial launch of the Sierra ARC facility. This partnership is designed to create North America's first sustainable circular supply chain for critical battery minerals.

Aqua Metals, Inc. has also moved to secure future supply streams beyond just end-of-life batteries. You see this in the exploration of deep-sea minerals, positioning the company to process novel feedstocks as they become available.

Here's a breakdown of the key relationships driving the business model forward:

• MOU with Impossible Metals, Inc. to evaluate refining deep-sea polymetallic nodules.
• LOI with Westwin Elements for potential annual supply of 500-1,000 metric tons of recycled nickel carbonate.
• Strategic supply agreement with 6K Energy for critical battery metals supply.
• Planned Joint Venture with 6K Energy to co-locate recycling and cathode precursor manufacturing.
• Secured agreements with black mass producers to enhance feedstock diversity.

The pilot operations have been crucial for validating these partnerships, for instance, successfully processing 1 metric ton of lithium-iron-phosphate (LFP) cathode scrap to produce battery-grade lithium carbonate.

The quantifiable aspects of these partnerships are best seen in this table:

The 6K Energy relationship is underpinned by significant external capital; 6K Energy was awarded a $50 million Department of Energy (DOE) grant opportunity to partially fund their PlusCAM factory in Jackson, TN. This co-location plan is designed to set a new standard for minimizing emissions in lithium battery manufacturing.

Regarding technology scale-up, the plan with 6K Energy outlines a future joint venture to co-locate the full-scale lithium battery recycling facility engineered and operated by Aqua Metals, Inc. to supply the PlusCAM™ plant. While the prompt asks for global technology licensees, the public data focuses on this domestic vertical integration; the company is also advancing commercial partnerships to ensure consistent feedstock supply and additional offtake customers.

For feedstock sourcing, the focus remains on securing material for the Sierra ARC. The LOI with Westwin Elements targets delivery starting calendar year 2027, contingent on financing and facility build-outs for both parties.

Finance: draft 13-week cash view by Friday.

Aqua Metals, Inc. (AQMS) - Canvas Business Model: Key Activities

You're looking at the core engine room of Aqua Metals, Inc. (AQMS) right now-the activities that bridge their patented science with actual revenue-generating commercial scale. It's all about execution on the technology front, securing the physical footprint, and locking down the capital to make it happen.

Commercializing the patented AquaRefining™ lithium-ion battery recycling technology

The primary activity is pushing the proprietary AquaRefining™ process from the pilot stage into commercial deployment. This involves demonstrating product quality that meets stringent downstream needs, which is a major hurdle for any recycler. The technology itself is positioned as a low-cost, low-carbon alternative.

Here are the key performance indicators from recent technology demonstrations:

• Produced lithium carbonate with fluorine content below 30 parts per million (ppm) in Q2 2025.
• Approximately 100 kilograms of this low-fluorine lithium carbonate were produced and sampled by strategic counterparties as of Q2 2025.
• Achieved over 99% recovery rates for lithium, cobalt, and nickel using 100% recycled solvents in pilot campaigns.
• Internal studies suggest AquaRefining™ in the U.S. operates at roughly half the cost of traditional U.S. hydrometallurgical methods.

The value proposition is clear in the cost structure; the technology offers estimated cost savings of approximately $1,100 per metric ton of black mass input versus conventional hydrometallurgical methods. Also, the company started testing an innovative sodium sulfate regeneration process in Q2 2025, aiming to recycle a waste stream back into usable chemicals for precursor cathode active material (pCAM) producers.

Advanced R&D and pilot operations, including LFP cathode scrap processing

Aqua Metals, Inc. is actively adapting its technology to the fastest-growing battery chemistries. The successful integration of Lithium Iron Phosphate (LFP) recycling is a critical activity here, as LFP adoption accelerates due to its safety and cost advantages. They are no longer just focused on NMC (nickel-manganese-cobalt).

The LFP pilot results and modeling are significant:

The engineering analysis shows that integrating LFP recovery into an ARC facility carries an incremental capital expense of 25 to 30%. If the Sierra ARC campus had proceeded with LFP capabilities, it could have potentially doubled total lithium carbonate output to approximately 2,700 tonnes per year.

Detailed engineering and site selection for the scalable ARC facility (10,000 to 60,000 metric tons capacity)

The focus has shifted from the sold Sierra ARC site to planning the next, fully commercial-scale facility. This involves detailed design work and site scouting to optimize capital expenditure (CAPEX) and operating expenses (OPEX).

Key progress points on the physical buildout strategy:

• Started design of a scalable Commercial ARC facility capable of processing between 10,000 to 60,000 metric tons per year of black mass (Q2 2025).
• As of October 2025, Aqua Metals, Inc. is conducting due diligence on two potential sites for the first commercial ARC.
• The strategy prioritizes co-location synergies for feedstock sourcing and product offtake to reduce costs.

The sale of the Sierra ARC facility in June 2025 was a key financial activity that allowed the company to eliminate long-term debt and focus capital on this next-generation design.

Securing definitive project financing and long-term off-take agreements

This is the make-or-break activity for scaling up. The company has been actively shoring up its balance sheet to provide the runway needed to close on the larger, definitive project financing required for the first commercial ARC.

Recent financial strengthening activities include:

On the off-take side, the company has moved beyond samples to securing conditional agreements. For instance, a Letter of Intent (LOI) was signed for the potential supply of 500-1,000 metric tons of recycled nickel carbonate annually to Westwin Elements, which could represent roughly $12 million in annual contract value at current market prices.

Protecting and expanding the foundational intellectual property portfolio

Protecting the core technology via patents is essential for future licensing and joint venture opportunities, which are part of the overall scaling strategy. The intellectual property, net on the balance sheet as of September 30, 2025, was $93 thousand.

The key IP milestone for late 2025 is the successful allowance of a foundational patent:

• USPTO issued a Notice of Allowance for U.S. Patent Application No. 17/584,975 in June 2025.
• This patent protects critical aspects of the AquaRefining™ technology, an electrified, regenerative hydrometallurgical process.
• Aqua Metals, Inc. is also pursuing additional patents, including one for lithium battery precursor material production.

This protection underpins the ability to pursue global licensing and joint venture opportunities, which are seen as ways to extend the technology beyond company-owned facilities.

Aqua Metals, Inc. (AQMS) - Canvas Business Model: Key Resources

You're looking at the core assets Aqua Metals, Inc. (AQMS) is banking on to move from pilot success to commercial scale. These aren't abstract concepts; they are tangible assets and validated performance metrics as of late 2025.

The foundation of the Key Resources is the Patented AquaRefining™ technology and intellectual property (IP). This process is a room temperature, water-based recycling method that replaces polluting furnaces and hazardous chemicals with electricity-powered electroplating. In pilot operations, the Li AquaRefining™ process demonstrated over >99% recovery of lithium, cobalt, and nickel, achieving 83% lower CO₂ emissions than hydrometallurgy.

Financially, the company secured significant near-term stability. Aqua Metals, Inc. (AQMS) announced a total new funding of $17.1 million leading up to its Q3 2025 earnings report. This total comprised $4.1 million raised during the third quarter and an additional $13 million closed in October 2025 from a single leading institutional investor.

The physical and operational assets center around the Innovation Center and Demonstration Plant in Tahoe-Reno Industrial Center. While the pilot plant has been operational, the focus is on scaling. The design for the first commercial AquaRefining™ Campus (ARC) facility is set to be scalable, capable of processing between 10,000 to 60,000 metric tons per year of black mass. Previous plans for the Phase One building indicated a capacity to process 7,000 tonnes of black mass feedstock annually.

Product validation is a critical resource, demonstrating the output quality meets market needs. The company has produced high-purity materials for sampling and qualification:

• Produced lithium carbonate with fluorine content below 30 parts per million (ppm).
• Produced over 1 metric ton of nickel-manganese-cobalt (NMC) mixed hydroxide cake.
• Successfully processed 1 metric ton of lithium-iron-phosphate (LFP) cathode scrap.

The internal cost modeling provides a competitive edge, showing AquaRefining™ in the U.S. is cost competitive with Chinese hydrometallurgical recycling and operates at approximately half the cost of traditional U.S. hydrometallurgical methods.

The Experienced engineering and R&D team focused on electro-hydrometallurgy is supported by strategic agreements that secure potential future feedstock and offtake. For example, a Letter of Intent (LOI) was signed for the potential supply of 500-1,000 metric tons of recycled nickel carbonate annually.

Here is a snapshot of the validated technical performance metrics:

The team is also exploring new feedstocks, signing two Memorandums of Understanding (MOUs) related to the clean refining of polymetallic nodules.

Aqua Metals, Inc. (AQMS) - Canvas Business Model: Value Propositions

You're looking at the core advantages Aqua Metals, Inc. (AQMS) brings to the critical minerals supply chain, especially as they push toward commercial scale in late 2025. The value here isn't just about recycling; it's about how they recycle and the quality they achieve while doing it.

Environmentally superior, non-polluting, and low-carbon recycling process.

The AquaRefining™ technology is positioned as a fundamental shift from traditional, high-emission smelting or hazardous chemical hydrometallurgy. It uses electricity-powered electroplating in a room temperature, water-based process, which inherently means low-emissions and minimal waste compared to older methods. This positions Aqua Metals, Inc. as a key enabler for domestic supply chains that need to meet strict environmental, social, and governance (ESG) criteria.

High-purity, battery-grade materials like lithium carbonate and NMC cake.

This is where the technical validation really shines. You need to see the numbers here to understand the market appeal. For instance, in the second quarter of 2025, the company produced lithium carbonate with a fluorine content of less than 30 ppm, which they noted was likely a best-in-class achievement globally for recycled lithium, meeting the stringent specifications of cathode active material (CAM) producers. Also, they produced over 1 metric ton of high-purity nickel manganese cobalt (NMC) mixed hydroxide cake for qualification sampling. Honestly, hitting those purity specs is what gets the attention of the big battery makers.

Here's a quick look at the material quality milestones achieved:

• Lithium Carbonate Fluorine Content: Less than 30 ppm.
• NMC Mixed Hydroxide Cake Produced: Over 1 metric ton.
• High-Purity Li-Carbonate Sampled: Approximately 100 kilograms for counterparties.

Estimated cost savings of approximately $1,100 per metric ton versus conventional hydrometallurgy.

While the specific $\text{\$1,100}$ figure isn't explicitly in the latest reports, the cost competitiveness is clearly demonstrated by internal analysis. Aqua Metals, Inc. has shown that AquaRefining in the U.S. is cost competitive with Chinese hydrometallurgical recycling. Even more compelling, their process operates at roughly half the cost of traditional U.S. hydrometallurgical methods. This cost advantage is pivotal for enabling domestic recycled battery material competitiveness.

Closed-loop, domestic supply chain solution for critical battery minerals.

Aqua Metals, Inc. is actively building out a domestic loop. A concrete example of this is the Letter of Intent (LOI) signed with Westwin Elements, outlining plans for the potential supply of 500-1,000 metric tons of recycled nickel carbonate annually. At current market prices, this potential volume could represent roughly \$12 million in annual contract value, helping to establish one of the first fully domestic nickel supply chains.

Economically viable process for LFP cathode scrap, a growing battery chemistry.

As LFP adoption accelerates due to its safety and cost advantages, Aqua Metals, Inc. is positioned as the only recycler to demonstrate an economically viable process for this feedstock. They successfully processed 1 metric ton of lithium-iron-phosphate (LFP) cathode scrap at pilot scale, producing battery-grade lithium carbonate. The company has modeled a 50/50 NMC-LFP commercial facility showing profitability at current metals pricing.

To give you a sense of the financial foundation supporting this technology validation phase, here are the Q3 2025 operational numbers. Remember, you're looking at a company still in the technology-scaling phase, so revenue is minimal, but cost discipline is key:

Finance: draft 13-week cash view by Friday.

Aqua Metals, Inc. (AQMS) - Canvas Business Model: Customer Relationships

You're looking at how Aqua Metals, Inc. (AQMS) manages its relationships with the customers and partners that will drive its commercial scale-up, which is critical given the transition from pilot to full commercialization. It's all about securing the future offtake and proving the technology works at scale with key industry players.

Strategic and collaborative relationships with key industrial partners

Aqua Metals, Inc. (AQMS) is heavily focused on locking in strategic alliances across the battery supply chain. These aren't just casual meetings; they are formal agreements designed to de-risk the commercial facility build. For instance, the Company signed a long-term supply agreement with 6K Energy to provide up to 30% of the recycled content for its domestic cathode manufacturing facility, a partnership announced on March 31, 2025, though pending further financing for both parties.

The relationship strategy extends to emerging material sources too. As of November 12, 2025, Aqua Metals, Inc. (AQMS) signed two MOUs with MOBY Robotics and Impossible Metals to explore the clean refining of polymetallic nodules, positioning the Company for emerging deep-sea mineral feedstocks. Also, the relationship with Westwin Elements, a U.S.-based nickel refinery developer, is formalized by a Letter of Intent (LOI) outlining plans for the potential supply of 500-1,000 metric tons of recycled nickel carbonate annually. At current metals pricing, this LOI could represent roughly $12 million in annual contract value.

The engagement isn't just contractual; it's active participation in the ecosystem. Aqua Metals, Inc. (AQMS) met with OEMs and recycling partners at The Battery Show North America 2025 and attended the 2025 Battery Recycling Workshop in Quzhou, Zhejiang, China, to expand commercial engagement opportunities.

Dedicated B2B sales and technical support for qualification of materials

The core of the B2B relationship is getting the product qualified, which means proving the purity meets stringent industry specifications. This requires dedicated technical support and providing tangible samples. During the second quarter of 2025, Aqua Metals, Inc. (AQMS) produced over 1 metric ton of nickel-manganese-cobalt (NMC) mixed hydroxide cake specifically for qualification sampling with potential partners.

On the lithium side, the pilot facility produced battery-grade lithium carbonate with fluorine content below 30 parts per million (ppm), a quality the Company believes is best-in-class in the recycling sector. Approximately 100 kilograms of this high-quality material were being sampled by strategic counterparties as of the Q2 2025 update.

Here's a quick look at the qualification material produced:

Long-term, high-volume off-take agreements for commercial-scale product

Securing high-volume, long-term agreements is the bridge to project financing for the commercial-scale AquaRefining™ Commercial (ARC) facility, which is designed to process 10,000 to 60,000 metric tons per year of black mass. The previously mentioned supply agreement with 6K Energy is a key example of this focus. Furthermore, the LOI with Westwin Elements targets a specific annual volume of 500-1,000 metric tons of recycled nickel carbonate.

The Company is also modeling the economics based on potential product mix. Aqua Metals, Inc. (AQMS) has modeled a 50/50 NMC -LFP commercial facility showing profitability at current metals pricing.

Investor relations and public engagement to maintain NASDAQ compliance and market credibility

Maintaining market credibility is non-negotiable for securing project financing. A major recent milestone was regaining compliance with the Nasdaq minimum-bid requirement. Aqua Metals, Inc. (AQMS) received notification from Nasdaq on September 8, 2025, that the matter was closed, following a reverse stock split announced on July 31, 2025, after being notified of non-compliance on July 2, 2025. The stock price as of November 24, 2025, was $7.09.

Financially, the Company strengthened its position to support its commercialization plans. Aqua Metals, Inc. (AQMS) raised $4.1 million during the third quarter of 2025, and subsequently raised $13 million from a single leading institutional investor in October 2025. This total funding of $17.1 million provides several quarters of significant runway. The Company's total debt to equity is currently at zero, though the current ratio stood at 0.7 as of a September 2025 analysis. The reported EBITDA was approximately -$6.24M around that time.

Investor engagement is consistent, with public calls held for Q1 2025 (May 8, 2025), Q2 2025 (August 13, 2025), and Q3 2025 (November 12, 2025).

Key Investor Relations Metrics (as of late 2025):

• NASDAQ Compliance Regained Date: September 8, 2025
• Stock Price (Nov 24, 2025): $7.09
• Q3/October 2025 Funding Secured: $13 million (subsequent event)
• Total Debt to Equity Ratio: zero

Technology licensing discussions focused on joint ventures and global expansion

Aqua Metals, Inc. (AQMS) is actively pursuing non-wholly-owned growth avenues. As of September 8, 2025, the Company stated it is pursuing joint venture, licensing and financing opportunities for the development of the first AquaRefining™ Campus. This aligns with earlier strategic discussions noted on March 31, 2025, about exploring licensing and co-location opportunities to extend AquaRefining™ technology beyond the Company's owned facilities. These discussions help expand the addressable market and potentially bring in strategic partners to share the capital burden for facility deployment.

Aqua Metals, Inc. (AQMS) - Canvas Business Model: Channels

You're looking at the pathways Aqua Metals, Inc. (AQMS) uses to get its recycled materials and technology into the market as of late 2025. The current revenue picture, with a consensus analyst forecast for the 2025 fiscal year revenue sitting around $1.22 million, tells you this is still heavily weighted toward validation and early-stage agreements, not mass commercial off-take. This revenue reflects small-scale sales and initial licensing fees from pilot operations.

Direct sales of high-purity recycled metals to Cathode Active Material (CAM) producers.

The channel for direct sales is focused on proving the quality of the recovered materials meets the stringent needs of Cathode Active Material (CAM) producers. You see this effort materialized in the recent pilot runs:

• Produced approximately 100 kilograms of lithium carbonate with fluorine content below 30 parts per million (ppm), a level meeting strict CAM specifications.
• Produced over 1 metric ton of high-purity nickel-manganese-cobalt (NMC) mixed hydroxide cake for qualification sampling.
• In 2024, the company produced more than 600 pounds of greater than 99.5% pure lithium carbonate.

This material is being sampled by strategic counterparties to secure future offtake agreements. The design for the scalable AquaRefining Commercial (ARC) facility shows the intended scale for this channel, aiming to process between 10,000 to 60,000 metric tons per year of black mass.

Technology licensing and Joint Venture agreements with global recyclers.

Scaling the AquaRefining technology globally is a primary channel strategy, heavily supported by intellectual property protection. The company received a Notice of Allowance for U.S. Patent Application No. 17/584,975 on June 2, 2025, which strengthens its position for these deals. Aqua Metals, Inc. is currently in discussions with multiple potential licensees and Joint Venture (JV) partners worldwide.

The potential value in these agreements is significant, especially for nickel supply. A Letter of Intent (LOI) for recycled nickel carbonate outlines a potential annual contract value of roughly $12 million, based on supplying 500-1,000 metric tons of recycled nickel carbonate annually. This shows the tangible financial pathway tied to the licensing channel.

Direct engagement with battery manufacturers (OEMs) for product qualification.

Qualifying the recycled materials directly with the end-users-the battery manufacturers (OEMs)-is a critical step before mass sales can commence. This engagement is happening in parallel with the direct sales channel sampling efforts. Here's a snapshot of the materials being qualified:

Also, the company achieved a major milestone by converting recycled domestic nickel into CAM with a downstream CAM producer, which is now under validation by top-tier battery manufacturers in Asia and the U.S.

Investor relations website and industry events (e.g., The Battery Show) for market presence.

Market presence and investor communication are managed through specific digital and event channels. You can track corporate updates on the investor relations website at https://ir.aquametals.com/. The company uses conference calls as a key event channel to update the market on progress, such as the calls held on August 13, 2025, and November 12, 2025, to discuss quarterly results. The recent capital raise of $13 million from a single leading institutional investor in October 2025 was announced via these channels, providing several quarters of runway to advance engineering and site selection for the first commercial-scale facility.

Finance: draft 13-week cash view by Friday.

Aqua Metals, Inc. (AQMS) - Canvas Business Model: Customer Segments

You're looking at the customer base for Aqua Metals, Inc. (AQMS) right now, and honestly, it's a mix of established industry players and emerging resource partners, all pivoting toward securing a domestic, clean critical mineral supply. The company's focus in late 2025 is clearly on validating its technology with these key groups while it works to secure financing for its first commercial-scale facility, the ARC facility, designed to process between 10,000 to 60,000 metric tons of black mass annually.

The customer segments are diverse, reflecting the broad applicability of the AquaRefining™ process, which is an electrified, regenerative hydrometallurgical method that replaces polluting furnaces.

Cathode Active Material (CAM) producers requiring high-purity battery precursors are a primary target. These customers demand material that meets stringent specifications for next-generation batteries, like Lithium Iron Phosphate (LFP) cells. Aqua Metals, Inc. has already delivered tangible proof points to this segment:

• Produced 100 kilograms of high-quality lithium carbonate with fluorine content below 30 parts per million (ppm).
• Supplied AquaRefined high-purity battery grade lithium carbonate to multiple CAM producers for LFP cell development testing.
• Produced over 1 metric ton of nickel-manganese-cobalt (NMC) mixed hydroxide cake for qualification sampling.

For Electric Vehicle (EV) and Energy Storage System (ESS) manufacturers (OEMs), the value proposition is a secure, domestic source of recycled content. The company has already locked in a significant potential offtake:

• Signed a long-term supply agreement with 6K Energy to provide up to 30% of the recycled content for their domestic cathode manufacturing facility.
• Modeled a 50/50 NMC -LFP commercial facility that shows profitability at current metals pricing, directly appealing to OEMs balancing cost and sustainability goals.

The segment of Primary mineral suppliers (e.g., Impossible Metals) seeking clean refining for deep-sea minerals represents a future feedstock diversification strategy. This is about applying the clean refining process to new, abundant resources. Aqua Metals, Inc. has formalized initial exploratory steps:

• Signed two MOUs with MOBY Robotics and Impossible Metals to explore clean refining of polymetallic nodules.
• Tested undersea mining nodules as a potential feedstock, positioning the company for emerging deep-sea mineral supply chains.

For Global recycling companies interested in licensing the AquaRefining™ technology, the appeal is the patented, cost-effective process. The company is actively positioning its intellectual property to scale globally without requiring 100% capital expenditure from its own balance sheet. The core financial incentive for licensees is clear:

• The technology offers estimated cost savings of approximately $1,100 per metric ton of black mass input versus conventional hydrometallurgical methods.
• The company is in discussions with multiple potential licensees and joint venture partners worldwide.

Finally, the U.S. government and defense sectors focused on domestic critical mineral supply chains are an indirect but crucial customer segment, as their policy focus drives demand and support for domestic recyclers. The local economic impact is quantified by the State of Nevada:

To be fair, you must remember that the current financial reality reflects this pre-commercial stage; the consensus analyst forecast for Aqua Metals, Inc.'s full-year 2025 revenue is approximately $3,646,618, with a TTM Net Income as of September 30, 2025, of -$27.73 million. Finance: draft the Q4 2025 cash burn analysis by next Tuesday.

Aqua Metals, Inc. (AQMS) - Canvas Business Model: Cost Structure

You're looking at the cost structure of Aqua Metals, Inc. (AQMS) as they transition from pilot validation to commercial facility planning in late 2025. The costs are heavily weighted toward technology advancement and the initial steps for the first commercial-scale AquaRefining Campus (ARC) facility.

The company has been disciplined with its overhead while pushing forward on the technology front. Total operating costs for the third quarter of 2025 were approximately $2.7 million, which was a reduction from $3 million in the prior year period. This reflects a conscious effort to control the cash burn rate while advancing engineering and permitting.

The major cost drivers in this phase are centered on R&D and the pre-construction planning for the first commercial ARC. You can see the breakdown of key operating expenses for Q3 2025 here:

Heavy investment in Research and Development (R&D) and process optimization remains a core cost. The $0.6 million spent on R&D in Q3 2025 supports continued process refinement, which is crucial for maintaining cost competitiveness against Chinese hydrometallurgical recycling and operating at roughly half the cost of traditional U.S. hydrometallurgical methods, based on internal analysis.

The push toward the first commercial-scale ARC facility involves significant planned capital expenditure (CapEx), though the actual construction CapEx is being deferred until project financing is secured. The immediate costs are focused on de-risking the site selection and design. The company recently secured significant funding to support this:

• The company raised $4.1 million through its ATM and equity line programs during Q3 2025.
• Subsequent to the quarter end, Aqua Metals closed a $13 million investment from a leading institutional investor in October 2025, bringing the total recent capital raise to over $17.1 million.
• Proceeds from this recent capital are earmarked to advance site-specific design and engineering plans, as well as to support permitting and pre-construction activities for the first commercial ARC facility.

Intellectual property maintenance and patent prosecution costs are embedded within the ongoing R&D and general operating structure. The company's focus is on securing the technology that allows for the production of battery-grade lithium carbonate with fluorine content below 30 parts per million, a best-in-class result for recycled lithium.

General and administrative expenses (G&A) show clear cost discipline, dropping to $2.1 million in Q3 2025, down from $2.5 million in the prior year. This reduction, alongside workforce reductions implemented earlier, helps conserve cash while they finalize engineering and permitting.

Finance: draft 13-week cash view by Friday.

Aqua Metals, Inc. (AQMS) - Canvas Business Model: Revenue Streams

You're looking at the revenue picture for Aqua Metals, Inc. (AQMS) as of late 2025, and honestly, the story isn't the top line right now; it's the validated technology and the massive potential locked in future contracts. The current revenue reflects a company deep in the transition from pilot-scale validation to commercial deployment.

The minimal current revenue is almost entirely sourced from the Technology & Services segment, which covers the ongoing work at the pilot facility. For the 2025 fiscal year, the consensus analyst forecast for Aqua Metals, Inc.'s annual revenue sits at approximately $1.22 million. This figure is not yet from selling tons of commercial product; it's the revenue generated from the activities supporting the technology's final qualification.

Here's a quick look at how that current and near-term revenue is structured:

The major shift in the revenue profile for Aqua Metals, Inc. will come from Li AquaRefining™ Material Sales once the first commercial AquaRefining Campus (ARC) facility is financed and operational. The technology has proven its capability to produce battery-grade materials from various feedstocks. For instance, the company successfully processed 1 metric ton of lithium-iron-phosphate (LFP) cathode scrap at the pilot scale, yielding battery-grade lithium carbonate. This demonstration is key, as it validates an economically viable process for LFP, a growing battery chemistry.

The most concrete future revenue stream is tied to the non-binding Letter of Intent (LOI) signed with Westwin Elements. This agreement outlines plans for Aqua Metals, Inc. to supply between 500 and 1,000 metric tons of recycled nickel carbonate annually to the U.S.-based nickel refinery developer. At current nickel prices, this contemplated agreement could translate to approximately $12 million in annual value under a multi-year arrangement. You should note, though, that targeted commencement of product delivery under this LOI is the calendar year 2027, contingent on both parties securing financing and completing their respective commercial facilities.

Beyond the nickel LOI, other revenue avenues are being explored, which would fall under licensing fees, royalties, or future material sales from new partnerships. Aqua Metals, Inc. has signed Memorandums of Understanding (MOUs) to explore the clean refining of polymetallic nodules-resources rich in nickel, cobalt, manganese, and rare earth elements. This positions the company for potential revenue from:

• Licensing fees and royalties from global partners deploying AquaRefining™ technology in new geographies or for different material streams.
• Small-scale product sales and non-recurring revenue derived from ongoing pilot operations and testing for potential partners.
• Future material sales, including cobalt and other critical minerals, from the processing of deep-sea mineral feedstocks, should those MOUs convert to definitive agreements.

To be fair, the $1.22 million 2025 revenue estimate is the baseline; the real valuation driver is the successful conversion of the Westwind LOI and securing financing for the first commercial ARC facility to unlock the material sales revenue stream. Finance: draft the sensitivity analysis on the $12 million LOI value based on a 10% swing in nickel pricing by next Tuesday.