[Special Stock] Cosmo Shinsojae to Supply High-End NCM Cathode Materials to LG Ensol

[Asia Economy Reporter Hyungsoo Park] Cosmo Advanced Materials' stock price is on the rise. The news that it is partnering with LG Energy Solution to develop NCM (Nickel-Cobalt-Manganese) cathode materials with 94% nickel content appears to be influencing the stock price. NCM cathode materials are high-end cathode materials used for electric vehicle batteries.

At 10:01 AM on the 9th, Cosmo Advanced Materials is trading at 45,550 KRW, up 7.81% from the previous trading day.

Recently, an IT specialized media reported that Cosmo Advanced Materials and LG Energy Solution are developing NCM cathode materials with 94% nickel content. The goal is to develop products by next year aimed at electric vehicle battery applications.

The nickel content has been raised to 94%, while the cobalt proportion has been reduced to below 5%. Nickel increases the driving range of vehicles, and cobalt enhances output. Since adding more cobalt raises the manufacturing cost of electric vehicles, efforts are ongoing to increase nickel and manganese content to improve driving range and output while reducing material costs.

Cosmo Advanced Materials is pushing to expand the supply of NCM cathode materials. It has supplied LG Energy Solution with NCM cathode materials containing 60% nickel. Cosmo Advanced Materials will supply LG Energy Solution with 83% nickel cathode materials in the second half of this year. This is the first time supplying high-nickel cathode materials with over 80% nickel content.

Cosmo Advanced Materials is also expanding its cathode material production capacity. The production volume at its Chungju plant will be increased from 20,000 tons annually to 70,000 tons by the end of 2023.

A representative from Cosmo Advanced Materials said, "We are applying NCM cathode materials to electric vehicle and energy storage system (ESS) batteries," adding, "We are expanding product development and production capacity in response to the increasing demand for electric vehicle batteries."