EcoPro EM, the join venture between EcoPro BM and Samsung SDI, has started construction of its cathode factory on Wednesday.
The company held a groundbreaking ceremony for the factory, called CAM6, at Pohang. The factory will produce cathode exclusively for Samsung SDI. It will take be built on 760,000 meter-square of land and take up 19,800 meter-square of space.
Over 190 billion won will be spend on building the factory which will have an annual production rate of 31,200 metric tonnes of high-nickel (over 80% nickel) NCM (nickel, cobalt and aluminum) cobalt materials.
Trial production at the factory will begin in October, 2021, while commercial production will begin sometime in early 2022.
Samsung SDI CEO Jun Young-hyun and EcoPro chairman Lee Dong-che attended the ceremony.
EcoPro BM executive Choi Moon-ho was named the first CEO of EcoPro EM. He has been an inside director at EcoPro BM since 2018.
EcoPro EM is planning to increase its cathode production capacity sequentially up to 2025. The factory it is building aims to become the world’s largest single factory producer of cathode materials.
EcoPro chairman Lee said a second investment into the factory is planned for 2023, and a third in 2024.
EcoPro BM and Samsung SDI announced the formation of their joint venture EcoPro EM back in February. EcoPro BM owns a 60% stake of the venture while Samsung SDI holds 40%.