[Market Focus] Mirae Nanotech Surges on Subsidiary's Major Supply Contract

As of 10:15 a.m. on July 31, the share price of Mirae Nanotech, an electronic materials and components company, was up 19.91% at 13,430 won on the KOSDAQ market. This surge appears to be due to a large-scale secondary battery material supply contract secured by Mirae Advanced Materials, a subsidiary in which Mirae Nanotech holds an 85% stake.

On this day, Mirae Advanced Materials announced that it had signed a contract to supply 45,000 tons of anhydrous lithium to a major domestic cathode materials manufacturer over three years, starting from the first half of next year. The volume of this contract is sufficient to manufacture approximately 170,000 tons of cathode materials. Anhydrous lithium is a high-purity lithium material with a purity of 99%, made by removing moisture from regular lithium hydroxide. It is gaining attention as a key material targeting the high-performance electric vehicle battery market.

To ensure a stable supply of anhydrous lithium, Mirae Advanced Materials is working to expand the drying line at the POSCO Future M Gumi plant, which it acquired in the first half of this year. From next year onward, its annual production capacity is expected to increase to over 30,000 tons, five times the current level.

Due to the trade conflict between the United States and China, demand for alternative materials to Chinese raw materials, including cathode additives, is rapidly increasing. In fact, during the first half of the year, Mirae Advanced Materials signed long-term supply contracts for cathode additives with domestic and overseas clients who prefer supply chains not reliant on Chinese raw materials.

A representative from Mirae Advanced Materials stated, "With the full-scale mass production of anhydrous lithium, our ability to respond to both domestic and global demand has been significantly strengthened," adding, "In the second half of this year, we will expand our production capacity and also broaden the global supply chain for key materials, including cathode additives."