L&F Signs 7-Year Long-Term Supply Contract for 300,000 Tons with SK On

Capacity to Equip Approximately 3 Million Electric Vehicles

L&F announced on the 25th that it has signed a supply contract for high-nickel (containing more than 80% nickel) cathode materials for electric vehicles with SK On.

The contract is a long-term supply agreement for approximately 300,000 tons over a period of 7 years. Through this contract, L&F has further strengthened its partnership with SK On and plans to fully support the electrification plans of the end customers based on this. Considering the current average price of cathode materials is about $30,000 per ton, the contract is expected to be worth over $9 billion, approximately 12 trillion KRW.

An L&F representative stated, "The supply volume with SK On is about 300,000 tons, which corresponds to the amount used in 3 million electric vehicles," and added, "Through this contract, L&F has secured additional major automakers as customers besides the world's number one electric vehicle company."

L&F and SK On plan to further solidify their cooperation through this contract by developing next-generation batteries and diversifying their product portfolio.

Choi Su-an, CEO of L&F, said, "I am pleased that the battery material development we have been conducting with SK On over a long period has borne good results," and added, "We will strive to contribute more to enhancing the competitiveness of Korea's battery and electric vehicle market through close collaboration with domestic cell companies and automobile manufacturers."