POSCO Chemical Starts Operation of World's Largest Cathode Material Plant in Gwangyang

Comprehensive Completion After 4 Years and 3 Months
Annual Production of 1 Million Electric Vehicle Cathode Materials
Total Production Capacity Secured at 105,000 Tons
Min Kyung-jun "Continuous Securing of Growth Momentum"

Posco Chemical Cathode Material Gwangyang Plant Panorama

[Asia Economy Reporter Oh Hyung-gil] POSCO Chemical's cathode material plant, the largest in the world, located in Gwangyang, has commenced operations. The factory, spanning the area of 23 soccer fields, will produce cathode materials capable of supplying batteries for 1 million electric vehicles annually.

On the 10th, POSCO Chemical held a comprehensive completion ceremony for the cathode material Gwangyang plant in Gwangyang City, Jeollanam-do. About 100 officials attended the event, including Min Kyung-jun, CEO of POSCO Chemical; Han Sung-hee, CEO of POSCO Construction; Song Sang-rak, head of the Gwangyang Bay Area Free Economic Zone Authority; and Jeong In-hwa, mayor of Gwangyang.

CEO Min stated, "We have established a production base with the world's largest scale and top-level technology to respond to the rapidly growing market demand. Based on this, we will further accelerate global investments and continuously secure growth engines."

The cathode material Gwangyang plant began its first phase in August 2018 with an annual capacity of 5,000 tons. Considering market and order conditions, it expanded in four phases and completed comprehensive construction in 4 years and 3 months. The site area alone is 165,203㎡, equivalent to 23 times the size of a soccer field (7,140㎡).

The existing annual production capacity of 30,000 tons has also increased to 90,000 tons. The plant will primarily produce high-nickel cathode materials, a next-generation electric vehicle battery material, supplying global battery manufacturers and automakers. Plans are in place to expand the product lineup to include high-nickel single-particle cathode materials and cathode materials for energy storage systems (ESS).

Additionally, the plant has been transformed into a smart factory capable of producing high-quality products faster and more efficiently. Compared to the first phase, production per line has increased by 300%. All processes operate unmanned, and a logistics system using air conveyance allows raw materials and products to move quickly at a speed of 5 meters per second.

Solar power facilities capable of producing approximately 1.3 GWh of renewable energy annually have been installed on the factory roof and parking lots. Pollution reduction equipment has been introduced, and wastewater generated during precursor production has been reduced by 49% compared to previous processes through water reuse.

With the comprehensive completion of the Gwangyang plant, POSCO Chemical has secured a total cathode material production capacity of 105,000 tons, including the Gumi plant (10,000 tons annually) and the Zhejiang Pohwa joint venture plant in China (5,000 tons). Additionally, the Pohang plant (60,000 tons), Zhejiang Pohwa plant (30,000 tons), and Canadian GM joint venture plant (30,000 tons) are under construction.

The POSCO Group is also developing a battery material full value chain cluster near the Gwangyang plant, capable of producing raw materials, intermediate materials, and cathode materials in one location. POSCO Philbar Lithium Solutions, producing 43,000 tons of lithium hydroxide annually, and POSCO HY Clean Metal, which recycles raw materials from used batteries, are under construction. A precursor plant with an annual capacity of 45,000 tons is also being planned for intermediate material production.

A POSCO Chemical official said, "We plan to respond more quickly and flexibly to market changes and customer demands, accelerating the expansion of global bases in North America, Europe, and China. Using the Gwangyang plant as a model, we will pursue domestic and overseas expansions to increase cathode material production capacity to 340,000 tons by 2025 and 610,000 tons by 2030. We will also focus our capabilities on research and development and product lineup expansion to accelerate our leap to becoming a global top-tier battery material company."

This content was produced with the assistance of AI translation services.