April 28, 2022: Li-Cycle has completed various commercial arrangements to become the preferred lithium ion battery recycling partner in North America for LG Chem and LG Energy Solution (LES), the companies announced on April 21.
The signing of an agreement with LES for the supply of manufacturing scrap for recycling and deals with both LES and LG for the sale of nickel sulphate from Li-Cycle’s recycling Rochester hub, in the state of New York, paves the way for the Korean group’s companies to finalize a $50 million investment in Li-Cycle.
All three companies said the agreements would support increasing demand for lithium ion batteries and their critical materials for the energy storage and electric vehicle batteries markets — and the partners would continue to explore additional opportunities globally.
LiCycle co-founder and CEO Ajay Kochhar said: “We’re thrilled to advance our collaboration… Together, we are driving sustainable global electrification through the creation of this milestone closed-loop ecosystem in the lithium ion battery supply chain.”
The recycling company announced in September that Koch Strategic Platforms (KSP), a subsidiary of Koch Investments Group, was making a $100 million investment in Li-Cycle through the purchase of a convertible note.
LiCycle said then that the incremental capital being raised from KSP would be directed towards the accelerated expansion of the battery recycling footprint, both in North America and internationally.