Korea Technology Adds New Business Purpose Related to Lithium, a Core Material for Secondary Batteries

[Asia Economy Reporter Jang Hyowon] Korea Technology, a KOSDAQ-listed company, announced on the 28th that it will newly add secondary battery material manufacturing, mining and mineral resource development, and ultrafine grinding equipment sales to its business objectives.

Korea Technology newly added a total of 21 items to its business objectives, including ▲mine development and mining ▲mineral resource development and sales ▲lithium carbonate mining, refining, processing, distribution, and sales ▲lithium hydroxide extraction, processing, and sales ▲secondary battery material manufacturing and sales ▲ultrafine grinding equipment design, manufacturing, and sales.

The company stated that while it will streamline non-core businesses to improve profitability, it plans to strengthen existing businesses and promote new secondary battery core material-related businesses to secure new growth engines.

Previously, the company submitted agenda items for amendments to the articles of incorporation and director appointments at the extraordinary general meeting of shareholders scheduled for the 13th. The newly added business objectives include secondary battery material-related businesses such as lithium and low-level radioactive waste-related businesses, while the deleted business objectives include mobile communication terminal device trading and automotive parts and product development.

A company official said, "This addition of business objectives is a roadmap establishment stage to secure the company's mid- to long-term growth potential," adding, "We plan to actively pursue strengthening existing businesses and discovering new growth engines, including secondary battery core material-related businesses."

Meanwhile, lithium is an essential raw material that constitutes cathode materials, a core component of batteries, and is mainly used in IT devices such as laptops and mobile phones, as well as electric vehicle batteries. Recently, due to the increase in electric vehicle demand, securing stable supplies of critical mineral resources has become increasingly important amid supply-demand imbalances and price increases of secondary battery raw materials.