POSCO Holdings Signs Financial Support Agreement with Woori Bank to Continue Growth in Battery Materials Business

Financial Support of 1 Trillion KRW Provided to Four New Secondary Battery Material Companies Under Holdings

On the 23rd, POSCO Holdings signed a financial support business agreement with Woori Bank to strengthen competitiveness in core materials for secondary batteries. From the left in the photo, Jeong Gi-seop, President of POSCO Holdings, and Jo Byung-gyu, President of Woori Bank, are taking a commemorative photo. Photo by POSCO Holdings

POSCO Holdings, together with Woori Bank, has launched a financial support initiative worth 1 trillion KRW over two years to strengthen the competitiveness of its secondary battery materials business companies within the group.

On the 23rd, the two companies signed a "Financial Support Agreement to Strengthen Competitiveness of Core Secondary Battery Materials" at Woori Bank's headquarters. The event was attended by Jeong Gi-seop, Chief Strategy Officer (CSO) and President of POSCO Holdings, Jo Byung-kyu, President of Woori Bank, and executives from both companies.

Jeong Gi-seop, President of POSCO Holdings, stated, "This agreement will help newly established secondary battery materials business companies within the group proactively secure liquidity, enabling stable operations and continuous planned investments to enhance future competitiveness." Jo Byung-kyu, President of Woori Bank, said, "We will actively cooperate to help POSCO Group, which laid the foundation for national growth through the steel industry, establish global competitiveness in the secondary battery materials sector."

Through this agreement, four POSCO Group secondary battery materials business companies?POSCO Philbar Lithium Solutions (P-PLS), POSCO HY Clean Metal (P-HYCL), POSCO Lithium Solutions (P-LS), and SNNC?will receive various and prompt financial support, including new credit screening, credit limits, and preferential interest rates, totaling 1 trillion KRW over the next two years for facility investments and raw material/product imports and exports.

POSCO Philbar Lithium Solutions is the first domestic plant producing lithium hydroxide based on ore lithium; it completed its first lithium hydroxide plant last year and is preparing to complete the second plant this year. POSCO HY Clean Metal is an eco-friendly secondary battery recycling plant that was completed in July last year. POSCO Lithium Solutions is a lithium production plant based on salt lakes in Argentina, scheduled for completion next year. SNNC is a nickel production plant for steel and secondary batteries located in Gwangyang, Jeollanam-do.

Meanwhile, POSCO Group introduced its "Secondary Battery Materials Business Advancement Strategy" at the secondary battery materials business value day last July, aiming to achieve approximately 11 trillion KRW in group sales from the secondary battery materials business by 2026 by overcoming the chasm (temporary demand stagnation in growth industries) through ▲completion of the entire value chain ▲strengthening business competitiveness ▲and preempting the next-generation battery materials market.

In particular, this year marks the inaugural year for fully operating the entire supply system of secondary battery materials owned by POSCO Group. By completing the value chain, the group plans to provide customized integrated solutions to customers, share the global competitiveness know-how of the steel business with the secondary battery materials business to enhance operational and production competitiveness, and drive the full-scale growth of the secondary battery materials business through group synergy creation.

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