LG Chem and LG Energy Solution recently recognized Li-Cycle as their preferred lithium-ion battery recycling partner in North America, just as Li-Cycle completed its commercial agreements with LG Energy Solution. On Thursday, April 21, Li-Cycle held a signing ceremony which marked the completion of the commercial agreements.
The three companies entered into the collaboration in order to be supportive of growing global market demand for lithium-ion batteries and critical materials. The company stated that this partnership will enable a closed-loop ecosystem for both LG Chem and LG Energy Solution for critical materials within the lithium-ion battery supply chain. The partnership will also provide more capital to Li-Cycle for its growing expansion worldwide.
According to a press release from Li-Cycle,
“Nickel is a key component for the production of lithium-ion batteries. Through a North America Scrap 10-year Offer Agreement, Li-Cycle will have the opportunity to recycle nickel-bearing lithium-ion battery scrap and other lithium-ion battery material from LGES’s North America manufacturing sites. Additionally, under 10-year Nickel Sulphate Off-Take Agreements with each of LGC and LGES, Li-Cycle will sell a combined initial allocation of 20,000 tonnes of nickel contained in nickel sulphate produced at Li-Cycle’s Hub facility currently under construction in Rochester, New York to LGC and LGES, through its off-take partner, Traxys North America LLC. Li-Cycle estimates that the nickel sulphate to be sold to LGC and LGES under these arrangements will be enough to produce lithium-ion batteries that can power approximately 300,000 high-performing EVs.”
Ajay Kochhar, co-founder and CEO of Li-Cycle, shared that the company was thrilled to advance the collaboration.
“We’re thrilled to advance our collaboration with LGC and LGES, two global industry leaders in the EV supply chain.
“Together, we are driving sustainable global electrification through the creation of this milestone closed-loop ecosystem in the lithium-ion battery supply chain.”
Feature photo courtesy of Li-Cycle