The partners are developing new kilns based on oxy-fuel calciner technology to enable carbon-free production.
A pilot plant could be brought forward as early as next year that will produce a 3,000 tonnes a year.
Lincolnshire, UK-based Singleton Birch says that, once this process has been proven, the next stage will be a 50,000 tonnes a year kiln which is already in design.
Singleton Birch's product range includes quicklime, hydrated lime, natural hydraulic lime, graded chalk, aggregates and other specialist products and services. The company says it produces up to 400,000 tonnes of lime and over one million tonnes of chalk annually.