Korea Zinc and LG Chem joint venture plant begins mass production, domestically produces precursors (South Korea)

Korea Precursors Co., a secondary battery material manufacturer established by Korea Zinc, a smelting and non-ferrous metals company, together with chemical giant LG Chem, has begun mass production of precursors for the cathode materials used in secondary batteries.
KPC was established in August 2022 by Korea Zinc through its subsidiary, Chemco, which manufactures nickel sulfate, together with LG Chem with an investment of approximately 200 billion won (approximately 21.591 billion yen).
It is a joint venture. A factory with an annual production capacity of 20,000 tons is scheduled to be completed in March 2024. The first mass production will begin in the first half of 2025, and the production capacity will be gradually increased thereafter, with the production volume reaching its maximum from the second half of the year.
Until now, the Korean secondary battery industry has relied almost entirely on China for secondary battery materials, including precursors. For this reason, Korea Zinc has focused its secondary battery materials business on a growth basis.
KPC has been making aggressive investments as a core part of its strategy. KPC is focusing on the production of high nickel precursors, which are in high demand from customers. It is also introducing a reactor that boasts the world's largest capacity.
The company is securing precursor production volume by utilizing a recycling process that incorporates Korea Zinc's smelting technology. In connection with this, Korea Zinc plans to start construction of a nickel smelter through KEMCO in November 2023.
The plant will support efficient production of nickel, from nickel smelting to nickel sulfate production and precursor production.