Posco Pilbara Lithium Solution Company (PPLS), a joint venture majority-owned by South Korean steel and battery materials producer Posco Group, announced that it has completed the construction of its second lithium hydroxide plant at the Yulchon Industrial Complex in Gwangyang, South Korea.
Australian miner Pilbara Minerals, which owns 18% of the joint venture, will supply the plant with lithium spodumene concentrate from its Pilgangoora Operation in Western Australia under a long-term offtake agreement.
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PPLS held a ceremony to celebrate the completion of the “Train 2” of the Lithium Hydroxide Monohydrate Chemical Facility, which was attended by South Korean Prime Minister Han Duck-soo, Posco Group chairman Chang In-Hwa and Pilbara Minerals non-executive director Steve Scudamore.
The facility will be able to produce up to 43,000 tonnes of lithium hydroxide per year at full capacity, to be achieved within 12-18 months, enough for around one million electric vehicle (EV) batteries.
The completion of the plant comes shortly after PPLS signed a long-term supply deal with local battery manufacturer SK On Company, for 15,000 tons of lithium hydroxide over the first three years. The joint venture also has an agreement in place to supply up to 30,000 tons of lithium hydroxide annually to Posco Future M, Posco’s main battery materials subsidiary.
Speaking at the opening event, Steve Scudamore said: “I acknowledge our joint venture partner, Posco Holdings, and everyone who has played a role in building this outstanding facility, as well as the Pilbara Minerals team who produce the raw materials at our Pilgangoora Operation in Western Australia. Our partnership with Posco began six years ago with a bold vision to diversify global battery chemicals production. We are looking forward to continuing our long and prosperous partnership with Posco in the many years to come.”
