The proximity between the cell and recycling plants will enable faster conversion of battery manufacturing scrap and will substantially reduce the costs associated with moving and handling battery manufacturing scrap materials, the companies said.
As Li-Cycle expands, the company has said it plans to add “spokes” within about 200 miles of battery-cell plants. GM is planning to open at least three other battery-cell plants in the U.S. The second will be in Spring Hill, Tenn.. The third will be in Lansing, Mich., GM said this week as the automaker promised to invest nearly $7 billion in EV and battery manufacturing in Michigan. GM has not yet said where the fourth plant will be located.
“Building this spoke facility alongside Ultium Cells’ plant is expected to substantially optimize costs and logistics as we transform manufacturing scrap from the plant into highly valuable material, using our unique, sustainable and fit-for-purpose approach,” Ajay Kochhar, CEO and co-founder of Li-Cycle, said in the statement.
Once production has ramped up, Li-Cycle’s plant will have the capacity to process up to 15,000 metric tons of battery manufacturing scrap and battery materials annually. The plant is expected to be fully operational in early 2023.
The primary output at the plant will be black mass, a powderlike substance that includes lithium, cobalt and nickel, elements essential to EV batteries. Li-Cycle will convert the mass into battery-grade materials at its facility in Rochester, N.Y., scheduled to open in 2023.
