POSCO Holdings and ProLogium Sign Agreements for the Development and Supply of Materials Supporting ProLogium's Mass Production of Solid-State Batteries
May 13, 2022, 00:09 ET
- POSCO Holdings will work with ProLogium to develop materials with the intention to supply ProLogium for the production of its next-generation solid-state batteries
- POSCO Holdings will also invest double-digit million US dollars in ProLogium (the "Placement")
- Combining POSCO Holdings's strong capabilities in manufacturing of battery materials and access to raw materials, this collaboration further empowers ProLogium's plan to bring its solid-state battery technology to mass production by the end of 2022
SEOUL, South Korea, May 13, 2022 /PRNewswire/ -- POSCO Holdings, in line with its plan to transform itself into an eco-friendly future materials company, today announced it has entered into an agreement with ProLogium (the "Company"), a global leading next-generation solid-state battery manufacturer, to support ProLogium for the development and supply of cathode, anode and solid electrolyte materials needed for the production of ProLogium's next-generation solid-state batteries.
Under the arrangement, POSCO Holdings will invest in ProLogium and become a long-term strategic partner of the Company. The two parties will work together to develop and manufacture anode, cathode, and solid electrolyte materials that meet ProLogium's specifications for its proprietary solid state battery technology. ProLogium and POSCO Holdings aim at entering a preferred supply arrangement upon the successful development of the materials. Such arrangement will provide POSCO Holdings with direct access to the highly attractive solid-state battery market, and will in turn enhance supply security for ProLogium and its customers.
"POSCO Holdings will continue to expand its secondary battery portfolio and strengthen its competitiveness in next-generation materials through cooperation with innovative companies such as ProLogium," Mr. Kyungsub Lee, the Chief of LiB Materials Business of POSCO Holdings said.
POSCO Holdings Inc., and JK, a Korean solid electrolyte material manufacturer, established a joint venture called POSCO JK Solid Solution (the "JV") in February this year and have prepared for construction since then. The JV plans to begin production of solid electrolytes from the second half of this year. Also, POSCO Chemical, a subsidiary of the POSCO Holdings responsible for battery materials manufacturing, announced plans to form a joint venture in North America with a global automaker to establish a supply chain for key battery materials in North America.
"The collaboration we are announcing today will enhance both firms' leading position in the global battery value chain," Mr. Vincent Yang, Chief Executive Officer and Chairman of ProLogium Technology said. "With the rising demand for batteries for electric vehicles around the world, secured supply of high-performance cathode and anode materials has become critical for battery companies. POSCO Holdings is an ideal partner for a battery manufacturer like ourselves, as POSCO Holdings possesses leading relevant raw material sourcing capabilities, as well as cathode and anode manufacturing capabilities. We believe that our collaboration with POSCO Holdings will contribute to a successful start of our mass production plant by the end of 2022, and will provide us with reliable access to battery materials, including upstream raw materials, and ensure supply security for our production in the future."
Earlier this year, Mercedes-Benz, the world's leading luxury car manufacturer, signed a technology cooperation agreement with ProLogium to develop next-generation battery cells. Furthermore, in early March, Gogoro, the world's leading energy-swapping and electric scooter service provider, announced the partnership with ProLogium to jointly develop technology for the integration of solid-state batteries into Gogoro's scooters, marking it the world's first solid-state battery prototype for two-wheeler battery swapping.
UBS AG acted as Financial Advisor to ProLogium on its private placement financing from POSCO Holdings.
ABOUT POSCO Holdings
POSCO is the world's leading steel-maker established in 1968. In 2022, POSCO Group transitioned into a holding company structure in order to thrive in a rapidly evolving business environment, and lay the foundation for sustainable and innovative growth. With the transition, POSCO Holdings aims to continue to develop and foster growth at its core businesses. In addition, the holding company structure will allow POSCO Group to streamline its decision-making process and to enhance expertise of each business. POSCO Holdings's core businesses are: ① steel, ② secondary battery materials, ③ lithium/nickel, ④ hydrogen, ⑤ energy, ⑥ construction/infrastructure, and ⑦ agri-bio. Further information can be found at www.posco-inc.com
Founded in 2006, ProLogium is a global leader in innovative next generation battery technologies for vehicle, consumer, and industrial applications. ProLogium is the first battery company in the world to mass-produce solid-state lithium ceramic batteries. Its proprietary technologies cover over 480 (applied or awarded) patents worldwide. ProLogium's automated pilot production line has provided nearly 8,000 solid-state battery sample cells to global car manufacturers for testing and module development. By the end of 2022, ProLogium will complete the establishment of a GWh plant, followed by capacity expansion plans in major markets worldwide. Further information can be found at www.prologium.com
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