SK On to build $945 million precursor plant in joint venture
이 글자크기로 변경됩니다.
(예시) 가장 빠른 뉴스가 있고 다양한 정보, 쌍방향 소통이 숨쉬는 다음뉴스를 만나보세요. 다음뉴스는 국내외 주요이슈와 실시간 속보, 문화생활 및 다양한 분야의 뉴스를 입체적으로 전달하고 있습니다.
Korean battery maker SK On will build a 1.21 trillion-won ($945 million) manufacturing facility on the country's southwest coast in a joint project with local materials producer EcoPro and China's Green Eco-Manufacture (GEM).
Under an agreement due to be signed Friday, the three companies plan to spend up to 1.21 trillion won for what will be their second joint venture to construct a plant for precursor, key materials used in electric vehicle battery.
The precursor plant, to be located in Saemangeum, a reclaimed area on the country's southwest coast, aims for an annual production capacity of 50,000 tons, equivalent to powering about 300,000 electric vehicles.
Construction is set to be completed in 2024.
The trio of companies signed in November last year their first venture deal to build a facility in Indonesia to produce mixed hydroxide precipitate (MHP), an intermediate nickel product for battery precursors.
A precursor refers to a specific chemical form containing nickel, cobalt, manganese and aluminum before it is turned into cathodes, a key secondary battery material that determines the power and range of electric vehicle batteries.
Precursors account for 65-70 percent of the cost of cathodes.
The Indonesian venture will supply the Saemangeum plant with the MHP to be used as feedstock for precursors.
It aims to produce MHP that contains 30,000 tons of high-purity nickel starting in 2024.
SK On has been bolstering efforts to strengthen its battery components supply chains amid the changing industry landscape. It signed in November last year a five-year contract with Chile's SQM for the supply of 57,000 tons of lithium.
The battery maker has also made an equity investment in an Australian miner, Lake Resources, and clinched a 10-year supply deal for 230,000 tons of lithium.
BY PARK EUN-JEE, YONHAP [park.eunjee@joongang.co.kr]
Copyright © 코리아중앙데일리. 무단전재 및 재배포 금지.
- Twice's Chaeyoung apologizes for wearing shirt with Nazi swastika
- Actors Hyun Bin, Son Ye-jin to take legal measures against fake news
- Gratitude keeps Ateez grounded after world tour, Paris fashion week appearance
- U.S. Chips Act offers some comfort to Korean chip makers
- Nude model Ha Young-eun bares all with her first book
- Authorities to monitor market with caution after Fed's rate increase
- Stocks end higher Tuesday on expectations Fed will take less-tough stance
- Harry Styles successfully entertains during his first show in Seoul
- Tomorrow X Together, NewJeans to perform at Lollapalooza 2023 in Chicago
- Baby Garden cult drops injunction request against Netflix