Company to start production at CAM5-N earlier than planned
EcoPro BM said on Monday that it has halted production at its cathode plant at Ochang following an explosion there on Friday.
The battery cathode maker didn’t say when it believes it can restart production.
The explosion on Friday caused one death and three injuries.
As of the third quarter of 2021, the factory at Ochang, which houses CAM4 and CAM4-N production lines, had accounted for 27.97% of the company’s total revenue.
CAM4-N, which was directly affected by the explosion, is expected to take longer to restart operation than CAM4, which was unaffected.
People familiar with the matter said the explosion seemed to be have been caused by a fire that started in the kiln.
EcoPro BM said it plans to offset the drop in production capacity by beginning operating its CAM5-N line faster than scheduled. It said it will also expand the production volume of CAM5 and CAM6. The three lines are located at its plant at Pohang.
CAM6 is run by the company’s subsidiary and joint venture with Samsung SDI EcoPro EM.
CAM5-N manufactures cathode for its other customer SK Innovation.
CAM6 and CAM5-N have annual production capacities of 70,000 metric tonnes and 28,800 metric tonnes, respectively. CAM5 has 26,000 metric tonnes.
CAM5-N, even if it begins production earlier than planned, will only be able to start operation during the fourth quarter as EcoPro BM has a spending plan for it up to January next year.
CAM4-N had been producing nickel, cobalt and manganese (NCM) cathode with over 70% nickel.