WESCOPE Korea Signs Business Agreement for Lithium Production
Global POSCO Lithium Plant Supply Chain Stability Expected
POSCO Holdings is strengthening its business competitiveness by successfully localizing key components of the lithium production process in collaboration with domestic small and medium-sized enterprises.
On the 14th, POSCO Holdings and WSK Korea (hereinafter ‘WSK’) signed a business agreement for ‘Joint Development and Localization Cooperation of Electrodialysis Membranes for Lithium Production’ at WSK’s Plant 1 in Ochang, Chungbuk. The ceremony was attended by Lee Kyung-seop, Executive Director and Head of Secondary Battery Materials Business Team at POSCO Holdings, Jeon Young-ok, CEO of WSK, and others.
From the left, Jeon Yeong-ok, CEO of WSK, Lee Kyung-seop, Head of Secondary Battery Materials Business Team (Executive Director) at POSCO Holdings Photo provided by Gwangyang Steelworks
According to the agreement, both companies will cooperate to localize electrodialysis membranes and related equipment, which are key components of POSCO Holdings’ lithium hydroxide plant, and to establish a stable supply chain.
Electrodialysis membranes are core components applied in POSCO Holdings’ proprietary lithium extraction technology. Since there were no domestic manufacturers, the membranes were entirely imported. The two companies began joint development of electrodialysis membranes in 2021 and succeeded in localization, with plans to apply them to POSCO Holdings’ commercial lithium plant starting in 2024.
With the successful localization of electrodialysis membranes, POSCO Holdings will be able to reduce costs and secure stable procurement of key components for the lithium commercial plant currently under construction. Meanwhile, WSK expects to enter the promising electrodialysis membrane business and increase related sales.
WSK is a company that develops and manufactures separators, one of the core materials for lithium-ion secondary batteries, based on its proprietary polymer film manufacturing technology. Since 2013, leveraging accumulated technology, WSK has collaborated with POSCO Holdings to develop lithium electrodialysis membranes, a key component in the lithium hydroxide production process.
POSCO Holdings’ proprietary ‘POSCO-type’ lithium extraction technology uses an electrodialysis method. By applying electricity to a stack of membranes that selectively allow specific substances to pass through and flowing lithium solution, it can produce high-purity lithium hydroxide. This method generates no by-products, allows recovery of raw materials, is environmentally friendly, and has low maintenance costs.
Furthermore, based on the first domestic joint development and commercialization cooperation of electrodialysis membranes for lithium production, the two companies plan to expand their cooperation to develop parts and equipment for recycling by-products in secondary battery material manufacturing processes. POSCO Holdings also plans to continue building a robust ecosystem by expanding collaboration with domestic small and medium-sized enterprises in the materials and components sector within the secondary battery materials business.
Meanwhile, POSCO Holdings completed the construction of Korea’s first ore-based lithium hydroxide commercial plant on November 29, following over 10 years of independent lithium extraction technology development and demo plant operation. It is currently constructing a brine-based lithium hydroxide commercial plant in Argentina.
Once the plants under construction are completed, POSCO Holdings will establish a lithium hydroxide production system with an annual capacity of 43,000 tons based on ore and 50,000 tons based on brine.
Additionally, following the lithium hydroxide plant with a total capacity of 93,000 tons currently under construction, POSCO Holdings aims to expand lithium production capacity to 423,000 tons annually by 2030, enter the global Top 3 lithium suppliers, and strengthen the full value chain of the secondary battery materials business.
Asia Economy Honam Reporting Headquarters, Reporter Heo Seon-sik hss79@asiae.co.kr
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