[Choi Changgeol Passes Away] Korea Zinc Chairman Yoonbeom Choi Carries On His Father's Management Philosophy

Accelerating Expansion into Eco-Friendly and Strategic Minerals
Aiming for a New Leap Forward Over the Next 50 Years

Korea Zinc is embarking on a new leap forward for the next 50 years, solidifying its third-generation management system and inheriting the late Honorary Chairman Choi Changgeol's philosophy of 'upright management.' Chairman Yoonbeom Choi, who took office in December 2022, is the grandson of the late co-founder Choi Giho and the second son of Honorary Chairman Choi Changgeol. He is leading the group's innovation by carrying on the management spirit of 'challenge and change' that has guided the company for 50 years since its founding.

Yoonbeom Choi, Chairman of Korea Zinc. Photo by Hyunmin Kim

Chairman Choi has put into practice his father's philosophy that "the answer is on the ground," spending over a decade at sites such as the Onsan Smelter, SMC in Australia, and mines in Peru. Even after becoming CEO in 2019, he has continued to visit sites in person, strengthening a management system focused on technology and safety. True to his father's belief that "if you make small improvements every day, there is no need for major reforms," he prioritizes sustainable growth over short-term results. Since taking office, Chairman Choi has been driving the 'Troika Drive'-three new businesses encompassing renewable energy and green hydrogen, secondary battery materials, and resource circulation-as the pillars of future growth.

Amid intensifying instability in the global supply chain, Chairman Choi has also been reinforcing Korea Zinc's position as a 'non-China strategic minerals hub.' During the Korea-U.S. summit in April, the company signed a memorandum of understanding (MOU) with Lockheed Martin, the world's leading defense company, for the supply of germanium and cooperation on critical minerals. Korea Zinc also plans to invest approximately 140 billion won to build a new germanium plant at the Onsan Smelter in Ulsan.

In the secondary battery materials business, the company is establishing mass production systems for high-nickel precursors and copper foil, and is constructing an 'all-in-one nickel smelter' capable of processing various raw materials in a single process, with commercial operation targeted for 2027. In the resource circulation sector, Korea Zinc has expanded its global recycling network by acquiring companies such as MDSi in the United States, Ignio Holdings, and Catman.

The company's existing smelting business is also performing well. In the first half of this year, Korea Zinc posted consolidated sales of 7.6582 trillion won and operating profit of 530 billion won. These figures represent year-on-year increases of 40.9% and 16.9%, respectively-record highs since the company's founding.

The ongoing hostile merger and acquisition (M&A) situation between MBK Partners and Young Poong has been cited as a major management variable since last year. Nevertheless, Chairman Choi has stated, "Even in the midst of turmoil, we will not give up on new possibilities," maintaining his commitment to a mid- to long-term growth vision. In his speech marking the 51st anniversary of the company's founding on August 1, he said, "We have learned how to look in the same direction by weathering the storms of the past 11 months. The waves will keep coming, but if we unite and use each other as a compass, Korea Zinc can once again astonish the world."