SK Networks and LS Nikko Dongjeonryeon Collaborate on Resource Circulation ESG Management... Synergy for Circular Economy Development

Comprehensive Business Agreement Signed to Promote Recycling Focused on the ICT Sector

SK Networks and LS Nikko Copper have signed a Memorandum of Understanding (MOU) for 'resource circulation through recycling and comprehensive marketing collaboration,' initiating cooperation in resource recycling focused on the ICT sector.

Photo by SK Networks

[Asia Economy Reporter Ki-min Lee] SK Networks and LS Nikko Copper announced on the 15th that they have signed a Memorandum of Understanding (MOU) for 'resource circulation through recycling and comprehensive marketing collaboration' and will cooperate in resource recycling centered on the ICT sector.

Through this, the two companies will collaborate on the recycling business of IT devices, including used phones, while sharing research information related to the 3Rs (Reduce, Reuse, Recycle) and jointly conducting social contribution activities to foster an eco-friendly ecosystem.

The two companies will collect discarded resources and reprocess them to strengthen business competitiveness, practice environmental protection, and create social value.

SK Networks has built a used phone distribution platform through an AI-based ATM operated by its subsidiary Mintit. Additionally, SK Networks Service manages and disposes of unused IT equipment through IT Asset Disposition (ITAD) services and operates a resource circulation center that recycles discarded home appliances from various partners, thereby advancing resource circulation and environmental businesses.

LS Nikko Copper, the largest non-ferrous metal company in Korea, leads the domestic precious and rare metal recycling industry by recycling gold, silver, platinum, palladium, tellurium, and more. With world-class technology to recover precious metals contained in copper ore, it has successfully exported and operated a precious metal recovery plant in Chile, the world's largest copper-producing country.

As the first joint activity of the collaboration, the companies will recycle 50,000 discarded mobile phones collected by Mintit instead of simply disposing of them. LS Nikko Copper is smelting the printed circuit boards (PCBs) of the discarded phones to rebirth valuable metals such as copper, palladium, gold, and silver.

Going forward, SK Networks and LS Nikko Copper plan to cooperate to increase the collection volume of discarded mobile phones and IT devices and improve recycling efficiency. They also intend to gradually expand the scope of their collaboration to IT devices, electric vehicle batteries, and more, while promoting a higher level of ESG management by utilizing all business areas, including subsidiaries.

Kim Yoon-ui, Head of SK Networks' Information and Communication Business Division, said, "Having confirmed the recycling synergy between the two companies through resource recirculation of discarded mobile phones, we expect to devise ways to enhance environmental value alongside business growth in various fields."

Choi Tae-seon, Head of Raw Materials Division at LS Nikko Copper, also stated, "Both companies sincerely pursuing ESG management in their respective business areas will strive to create synergy in the recycling business and the development of a circular economy."