Materials specialist Umicore has formed a multi-year strategic supply agreement with Korean chemical company LG Chem.
As part of the agreement, Umicore will supply the company with nickel manganese cobalt (NMC) cathode materials from its plants in Poland, Korea and China. It takes effect in 2020 and covers 125,000 metric tonnes to be delivered over several years. The companies are also entering a technology licensing arrangement covering IP rights whereby they will share user rights on a range of global patents for different high-end NMC cathode materials used in automotive and energy storage applications, the company said.
Umicore says that the agreement will help LG Chem meet growing demand for rechargeable lithium-ion batteries in longer-range electric vehicle models. The companies are also discussing the terms of a long-term cooperation in battery recycling.
‘Umicore is committed to enabling the transition to electrified mobility and this comprehensive agreement with LG Chem provides a significant step in the deployment of our strategy,’ said Marc Grynberg, Umicore CEO.
This story uses material from Umicore, with editorial changes made by Materials Today. The views expressed in this article do not necessarily represent those of Elsevier.