Hyundai, OCI partner on recycled EV batteries
South Korean automaker Hyundai Motor aims to become a major force in the global renewable energy industry by marketing energy storage systems (ESS) made from recycled electric vehicle (EV) batteries.
The company signed a preliminary agreement with Seoul-based OCI, which makes chemicals and builds solar power stations, to jointly find ways to pair Hyundai's ESS products with renewable energy projects. Hyundai said the joint venture will also develop a distributed power business model that employs its ESS technology.
The venture will start out by installing Hyundai Motor ESS units at OCI solar farms in Texas and South Korea to prove the feasibility of its systems. Connecting solar arrays to ESS allows power producers to mitigate the intermittency of renewable energy sources by storing electricity generated during sunny off hours for use during peak demand hours.
The initiative is part of Hyundai's effort to create a "virtuous cycle" of environmentally friendly resources — from developing EVs to recycling their retired batteries for use in ESS units. Commercialising ESS units made from EV batteries solves the issue of how to dispose of old power packs while employing them in an environmentally beneficial way, Hyundai said.
The recycling issue will become more pressing for EV makers as sales volumes surge and cars begin to be retired on a large scale. Hyundai's Kia and Hyundai auto brands sold nearly 45,000 EVs in this year's first half, more than doubling their pace of more than 18,000 at 2018's midpoint.
Hyundai earlier this year signed an agreement with local, provincial and national governments in Jeju, South Korea, to establish a battery recycling system.
The company last year created a strategic partnership with Finland's Wartsila to accelerate development of ESS units made from recycled batteries. Hyundai finished building such a system, boasting 1MW of capacity, at a Hyundai Steel plant last December.
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Tata Steel BF to stay on as Unite suspends strike
Tata Steel BF to stay on as Unite suspends strike
London, 1 July (Argus) — Union Unite has agreed to suspend its "indefinite" strike action which was due to start at Tata Steel site on July 8. Tata had said it would need to prematurely close blast furnace four (BF4) this week due to safety and operational concerns if the strike went ahead. Blast furnace five is being taken down, in line with the company's earlier plan. In a note to Unite members seen by Argus today, Unite representatives said they had decided to suspend all action, including "working to rule, overtime ban and strike action" after talks with Tata over the weekend. "We welcome Unite's decision to withdraw their strike action and get back around the table with their sister steel unions", Alun Davies, national officer for Community Union, said. "Tata confirmed that if the strike was called off they are ready to resume discussions on a potential MOU (memorandum of understanding), through the multi-union steel community," he added. Tata has commenced legal action to challenge the validity of Unite's ballot and a court hearing is scheduled for 3 July, Tata Steel UK chief executive officer Rajesh Nair said in a note to Tata employees on 28 June. Tata had met with Unite on 28 June, where the union confirmed it would provide "minimum safety cover" at Port Talbot and Llanwern during the strike, but Nair said this was "not sufficient" to allow safe operations, and the closure of the furnaces and heavy end would start this week. However, sources expect BF4 and the steel plant will continue running now the threat of imminent strike action has been withdrawn. By Colin Richardson Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
ASD completes purchase of Atlantic Steel Processing
ASD completes purchase of Atlantic Steel Processing
London, 1 July (Argus) — UK general steel distributor ASD has acquired the assets of Birkenhead-based decoiler Atlantic Steel Processing out of administration. The group, now owned by Spain's Hierros Anon, said the acquisition will enhance its presence in the UK's northwest and give it cost-effective access to the Irish markets — previously Ireland was an important region for Atlantic. Atlantic also introduces new products to ASD, in the form of decoiled hot-rolled sheet and reversing mill plate. Atlantic has the widest decoiling line in Europe, Yoder, capable of processing 2.5m-wide material. Hierros Anon has been on something of an acquisition spree of late, recently acquiring four country operations from Kloeckner, including ASD in the UK. Atlantic fell into administration on 3 May , as first reported by Argus . The business was affected by a difficult UK hot-rolled coil (HRC) and sheet market, and had a lack of cash after a management buyout in 2022. Continued difficult market conditions are likely to see more consolidation in the service centre and decoiling markets in the coming weeks, sources said. By Colin Richardson Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Lake Resources to delay Argentinian Kachi Li project
Lake Resources to delay Argentinian Kachi Li project
Singapore, 1 July (Argus) — Australian lithium developer Lake Resources expects further delays to its Argentinian Kachi lithium brine project, and will no longer continue with agreements to sell its Kachi supply. The firm's Kachi project previously faced a six-year delay that pushed its first phase production of 25,000 t/yr to 2027. The firm on 1 July said it now believes that this will "take longer than initially expected", citing macro environment conditions. The firm is also now "managing an ongoing process" for the potential sale of its lithium assets in other parts of Argentina, namely its Paso de Jama, Olaroz, Cauchari and Ancasti assets, as it focuses on the Kachi project. Major Chinese lithium-ion battery cathode active material precursor manufacturer CNGR has been looking to invest and potentially acquire significant stakes in some Argentinian lithium projects , including Paso de Jama, a source from CNGR told Argus early last month. Lake Resources will also cut more than 50pc of its global headcount to "right-size" its workforce and expenditure, on top of an earlier announcement in March about cutting 50pc of its "non-core operational and administrative" workforce. The firm will also no longer progress the non-binding offtake agreements signed in 2022 to sell its Kachi output to South Korean battery producer SK On and Netherlands-based commodity trading firm WMC Energy . The firm will rather focus on "competitive strategic partnering process" for equity investment and offtake agreements. Argus- assessed prices for 99.5pc grade lithium carbonate stood at 90,000-95,000 yuan/t ($12,382-13,070/t) ex-works China on 28 June, with recent bearish sentiment in the lithium market. Woes are also mounting for the downstream battery and electric vehicle industry. By Joseph Ho Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
UK HRC market ponders early closure of Tata BFs
UK HRC market ponders early closure of Tata BFs
London, 28 June (Argus) — The UK hot-rolled coil (HRC) market was pondering the potential premature closure of Tata Steel's blast furnaces today. Tata Steel UK could close both its furnaces and the wider heavy end at its Port Talbot site by 5 July because of the impending and "indefinite" strike by members of the trade union Unite, due to start on 8 July, company chief executive Rajesh Nair said in a note to employees on Thursday. Tata had initially planned to maintain blast furnace 4 until September, with blast furnace 5 going down this month. The strike, involving 1,500 workers, would mean Tata could not "maintain safe and stable operations", Nair said. Tata is trying to bring Unite back to the negotiating table, alongside other unions Community and GMB. The company said it will pursue legal action to challenge the validity of Unite's strike ballot — it has questioned whether the union met the 50pc participation threshold requirements at certain sites. Sources were caught somewhat off-guard by the news, which is complicated by the failure of the UK government to approve the Trade Remedies Authority's recommendation to suspend import quotas for HRC . With HRC import quotas still in place, supply from ‘other countries' sellers will be increasingly constrained — the duty-free quota is around 23,000/t quarter, but almost 50,000t could clear into this in 1 July, partially because of Tata's increased importation of Indian HRC. Should Tata's furnaces go off line early next month, it would need to increase imports of overseas tonnage, including from its parent company in India. Sources suggest HRC supply from its parent company could be booked for end-August arrival at the earliest. If quotas have not been suspended, there could again be duties payable for other countries' sellers. In a typical market, the disruption would clearly propel prices higher. But demand remains low, with mill tied and independent service centres competing to sell sheet as low as £620/ddp, a price which leaves no margin, based on average stock cost. Europe's imposition of a 15pc cap on countries selling into its own other countries quota is another complicating factor. That move effectively caps any country selling into that quota to 141,849t/quarter and could lead to material being diverted to the UK. The UK has not amended developing nation status as part of its latest safeguard review, meaning Vietnam — a major seller into the EU other countries' quota — can sell into the UK without quota. Vietnam is bearing the brunt of increased Chinese HRC exports, taking 3.9mn t over the first five months of this year, compared to 6.1mn t over the whole of 2023, which was a record high. By Colin Richardson Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
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