Daeyang Geumsok-Youngpoong Jeji Declare Entry into Secondary Battery and E-Waste Industries

Daeyang Metal and Youngpoong Paper announced on the 2nd that they will enter the secondary battery and E-Waste (electronic waste) industry in collaboration with Australian ASX-listed company L, which operates across the entire battery industry from mineral mining to recycling to secure future growth engines.

Daeyang Metal and Youngpoong Paper explained that they had already signed an MOU for business cooperation with Australian company L last year, and in April, they signed a more detailed MOU to establish a joint venture (JV) in Korea.

According to the companies, Australian company L invests in multiple lithium and secondary battery-related mineral development companies within Australia and participates in joint development projects. It is also known to possess independently developed technology for lithium extraction and lithium iron phosphate (LFP) battery materials.

Through the joint venture (JV), Daeyang Metal and Youngpoong Paper plan to pursue various businesses across most areas of the battery industry, including investment in mine development including lithium, battery material development, battery module/packaging manufacturing, and used battery recycling. The two companies also stated that they plan to actively expand their business through cooperation with companies possessing excellent technology and personnel, as well as additional M&A (mergers and acquisitions).

In particular, they will prioritize entering the used battery recycling business, which is expected to grow more than 100 times by 2030 compared to the current scale, in cooperation with their Australian partner. They plan to establish a JV with the Australian partner to transfer cathode material technology essential for lithium iron phosphate (LFP) batteries and develop and commercialize cathode materials with superior performance to existing LFP batteries. The company also stated that it is actively considering the acquisition of a domestic cell pouch film manufacturing company with excellent technological capabilities.

A company representative said, “In the mid to long term, we also expect to jointly enter the North American and European markets with our Australian partner,” adding, “We plan to actively utilize the Australian partner as a foothold for entering advanced overseas markets.”