POSCO Holdings Expands Lithium Production Base at Argentina Salt Lake

Construction of Phase 2 Upper Process for Yeonsan 25,000t Scale Begins

POSCO Holdings is commencing the phase 2 upstream process of brine lithium production in Argentina to expand its lithium production base.

On the 28th (local time), POSCO Holdings held a groundbreaking ceremony for the phase 2 upstream process of brine lithium at the Hombre Muerto salt lake in Argentina. The ceremony was attended by Lee Yong-soo, Ambassador of Korea to Argentina; Gustavo S?enz, Governor of Salta Province; Ra?l Jalil, Governor of Catamarca Province; Yoo Byung-ok, Vice President and Head of Eco-friendly Future Materials at POSCO Holdings; and Kim Kwang-bok, Head of POSCO Argentina.

On the 28th (local time), attendees are inspecting the site at the groundbreaking ceremony for the second phase of the brine lithium upstream process at Hombre Muerto Salt Lake in Argentina. From the left: Kim Kwang-bok, Head of POSCO Argentina Corporation; Jose Ignacio, Federal Deputy Minister of Industry; Lee Yong-soo, Ambassador of Korea to Argentina; Gustavo Saenz, Governor of Salta Province; Yoo Byung-ok, Vice President and Head of Eco-friendly Future Materials at POSCO Holdings; Raul Haril, Governor of Catamarca Province; Fernanda Avila, Federal Deputy Minister of Mining.

The phase 2 upstream process of brine lithium is planned to have an annual lithium production capacity of 25,000 tons, with completion targeted for the second half of 2025. The total investment is approximately 1 trillion KRW, and POSCO Argentina, a 100% subsidiary of POSCO Holdings, will be responsible for construction, operation, and financing.

POSCO Holdings will produce lithium carbonate in the phase 2 upstream process and convert it into lithium hydroxide in the downstream process to supply as material for secondary battery cathodes. On the 13th, POSCO Holdings also commenced the phase 2 downstream process of brine lithium at the Yulchon 1 Industrial Complex in Jeollanam-do, South Korea.

Since acquiring the Hombre Muerto salt lake in Argentina in 2018, POSCO Holdings has been constructing phase 1 upstream and downstream brine lithium processes with an annual capacity of 25,000 tons locally since last year. This year, the phase 2 upstream and downstream processes with the same capacity are also being initiated, establishing a lithium production system based on the Argentine salt lake capable of producing 50,000 tons annually, enough for 1.2 million electric vehicles.

POSCO Holdings plans to gradually expand its lithium production facilities to produce 100,000 tons of lithium annually from the Argentine salt lake by 2028. For phase 2 brine lithium, the upstream process will be located in Argentina and the downstream process in South Korea, enabling timely supply of lithium to domestic cathode material plants such as POSCO Future M and securing a favorable position to benefit from the U.S. Inflation Reduction Act (IRA).

Vice President Yoo Byung-ok stated, "With a firm belief that lithium is an eco-friendly future material and a key raw material for the secondary battery industry, we will consecutively build two lithium plants in a short period to further enhance our competitiveness in secondary battery materials."

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