L&F nabs $6.75 bn deal for cathode materials in Europe

2024.04.12 09:27:01 | 2024.04.12 09:30:40

[Courtesy of L&F Corp.]이미지 확대

[Courtesy of L&F Corp.]

South Korea’s L&F Corp. announced on Thursday that it secured a significant long-term supply contract with a European client for 176,000 tons of high-nickel cathode materials. The contract, valued at about 9.24 trillion won ($6.75 billion) based on recent average prices, will span from January 2025 to December 2030, but client details were not disclosed due to confidentiality.

The deal marks the first time a Korean cathode material company enters into a supply agreement with a customer in the European market. L&F expressed confidence that this contract would expand its foothold in Europe, especially as the cathode materials meet the stringent Environmental, Social, and Governance (ESG) requirements enforced by European battery regulations.

The agreement with the European client is the latest among L&F’s recent business achievements, including a February 2023 contract with an American electric vehicle manufacturer and another in March 2024 with SK On for the supply of 300,000 tons of high-nickel cathode materials. L&F also signed a memorandum of understanding with North American battery company Our Next Energy (ONE) to supply lithium iron phosphate (LFP) cathode materials earlier in April 2024.

L&F CEO Choi Su-an commented on the strategic expansion, emphasizing the company’s commitment to being a leader in the cathode material market with its technology and business competitiveness.

By Park Joon-hyung and Minu Kim

[ⓒ Pulse by Maeil Business Newspaper & mk.co.kr, All rights reserved]