- WORLD EDITIONAustraliaNorth AmericaWorld
Investing News NetworkYour trusted source for investing success
- Lithium Outlook
- Oil and Gas Outlook
- Gold Outlook Report
- Uranium Outlook
- Rare Earths Outlook
- All Outlook Reports
- Top Generative AI Stocks
- Top EV Stocks
- Biggest AI Companies
- Biggest Blockchain Stocks
- Biggest Cryptocurrency-mining Stocks
- Biggest Cybersecurity Companies
- Biggest Robotics Companies
- Biggest Social Media Companies
- Biggest Technology ETFs
- Artificial Intellgience ETFs
- Robotics ETFs
- Canadian Cryptocurrency ETFs
- Artificial Intelligence Outlook
- EV Outlook
- Cleantech Outlook
- Crypto Outlook
- Tech Outlook
- All Market Outlook Reports
- Cannabis Weekly Round-Up
- Top Alzheimer's Treatment Stocks
- Top Biotech Stocks
- Top Plant-based Food Stocks
- Biggest Cannabis Stocks
- Biggest Pharma Stocks
- Longevity Stocks to Watch
- Psychedelics Stocks to Watch
- Top Cobalt Stocks
- Small Biotech ETFs to Watch
- Top Life Science ETFs
- Biggest Pharmaceutical ETFs
- Life Science Outlook
- Biotech Outlook
- Cannabis Outlook
- Pharma Outlook
- Psychedelics Outlook
- All Market Outlook Reports
The South Korean steelmaker is looking to secure long-term supply of lithium, a key element in the batteries used in electric cars.
Australian lithium miner Pilbara Minerals (ASX:PLS) has agreed to sell up to 240,000 tonnes of lithium concentrate per year to South Korean steelmaker POSCO (KRX:005490).
POSCO is looking to secure long-term supply of lithium, a key element in electric car batteries, as it aims to make about 30,000 tonnes of lithium products per year beginning in 2020.
The steelmaker is seeking to supply South Korean battery makers, including POSCO ES Materials and its joint venture with China’s Huayou Cobalt (SHA:603799), one of China’s top cobalt producers. Other major battery makers include LG Chem (KRX:051910), Samsung SDI (KRX:006400) and SK Innovation (KRX:096770).
Under the deal, the South Korean firm will also acquire a 4.75-percent stake in Pilbara Minerals, which owns the lithium-tantalum Pilgangoora mine in Western Australia.
The Australian miner plans to begin production of about 300,000 tonnes of lithium concentrate in the second half of this year, eventually reaching as much as 800,000 tonnes annually, POSCO said.
Pilbara also plans to take a 30-percent stake in POSCO’s planned future lithium factory. The location and timetable for the opening are yet to be confirmed.
As the race to secure raw materials for the electric car boom heats up, Pilbara continues to attract interest from battery and carmakers in the Asian market.
Last year, the company signed an offtake agreement with Chinese car manufacturer Great Wall Motors (HKEX:2333). It was the first investment deal by an automaker into an upstream supplier of lithium raw materials.
Pilbara is on track to start plant commissioning in Q2 2018 and to deliver its first spodumene concentrate by late Q2 2018, the company said.
On Tuesday (February 27), shares of Pilbara Minerals closed down 1.42 percent in Sydney at AU$0.83.
Don’t forget to follow us @INN_Resource for real-time news updates!
Securities Disclosure: I, Priscila Barrera, hold no direct investment interest in any company mentioned in this article
Latest News
Investing News Network websites or approved third-party tools use cookies. Please refer to the cookie policy for collected data, privacy and GDPR compliance. By continuing to browse the site, you agree to our use of cookies.Â