POSCO seeks to strengthen lithium business in Chile, Argentina

By Kim Joo-heon Posted : June 18, 2024, 11:25 Updated : June 18, 2024, 11:25
 POSCO Holdings President Jeong Ki-seop left takes commemorative photo with Argentine Economy Minister Luis Caputo in Buenos Aires Argentina following discussions on their lithium business cooperation on June 12 2024 Courtesy of POSCO
POSCO Holdings President Jeong Ki-seop (left) poses for a photo with Argentine Economy Minister Luis Caputo in Buenos Aires, Argentina, during a meeting on June 12, 2024. Courtesy of POSCO.
SEOUL, June 18 (AJU PRESS) - POSCO has engaged in talks with high-ranking officials in Argentina and Chile to secure additional lithium resources and enhance its lithium business for electric vehicle batteries.

POSCO Holdings President Jeong Ki-seop met with Argentine Economy Minister Luis Caputo in Buenos Aires on June 12.  He requested the Argentine government's support to include POSCO Group's lithium business in the state incentive regime for large investments called RIGI. 

RIGI is designed to attract large-scale investments from overseas by providing tax benefits. 

The Argentine minister assured that the government will create a favorable investment and business environment, according to POSCO.

POSCO Group is currently constructing two lithium brine production plants following its acquisition of Argentina's Salar del Hombre Muerto Salt Lake in 2018. The facilities aim to produce 50,000 tons of lithium annually, sufficient for manufacturing batteries for about 1.2 million EVs.

The first plant, with a capacity of 25,000 tons, is scheduled for completion this year, while the second plant is targeted for completion in 2025.

On June 14, Jeong met with officials from Chile's Ministry of Mining in Santiago regarding the development of local lithium brine resources. Chile, ranking first in terms of lithium reserves, is currently advancing lithium resource development under national initiatives.

Chile requested POSCO's participation in a new lithium brine development project, according to POSCO.
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