POSCO-Pilbara Lithium Solution

What POSCO-Pilbara Lithium Solution does

POSCO-Pilbara Lithium Solution Co., Ltd. (P-PLS) is a joint venture between South Korea's POSCO Holdings and Australia's Pilbara Minerals, established in April 2021 (formally registered as a JV in April 2022). The company is the first South Korean producer of battery-grade lithium hydroxide (LiOH) from spodumene ore and operates a vertically integrated production complex at the Yulchon industrial complex in Gwangyang-si, Jeollanam-do. Its core product is high-purity lithium hydroxide used as a cathode precursor for NCM lithium-ion batteries in electric vehicles, with a target annual production capacity of 43,000 tons, equivalent to batteries for approximately one million EVs per year.

P-PLS operates two factories using a dual-technology strategy: Factory 1 (completed November 2023) deploys POSCO Group's proprietary electrodialysis-based lithium extraction technology, which enables by-product recovery with minimal residue generation; Factory 2 (comprehensive completion November 2024) uses validated commercial lithium extraction technology from leading international operators. The upper process converts imported spodumene ore into lithium sulfate, and the lower process converts lithium sulfate into lithium hydroxide. A secondary byproduct stream of approximately 430,000 tons per year of spodumene processing residue at full capacity is monetised in civil engineering applications (road base aggregate, concrete blocks, soil conditioning). The facility achieved ISO 9001 and ISO 14001 certifications in November 2024.

The company generates revenue through direct B2B sales of lithium hydroxide under long-term supply agreements (LTAs) with major battery and EV manufacturers, with SK On as the publicly disclosed anchor customer (up to 15,000 tons over 3 years from 2025, extendable for an additional 3 years). Pricing is private and not publicly disclosed. Additional volume is consumed internally by POSCO Group affiliates, primarily POSCO Future M's co-located cathode material plant. As a newly operational facility, P-PLS contributed to the POSCO Group rechargeable battery materials segment posting its first operating surplus in nine quarters in Q2 2026.

Name

POSCO-Pilbara Lithium Solution

Legal name

POSCO-Pilbara Lithium Solution Co., Ltd.

Website

https://www.poscolithium.com

Company type

Private

Founded year

2022

Operating status

Operating

Headcount range

101–250 employees

Short description

POSCO-Pilbara Lithium Solution is a South Korean joint venture between POSCO Holdings and Pilbara Minerals that produces battery-grade lithium hydroxide from imported spodumene ore for EV battery cathode manufacturers, operating a 43,000-ton-capacity integrated production complex in Gwangyang-si.

Ownership category

akta.pro rank

Product category

Battery-grade Lithium Hydroxide (Lithium Chemicals for EV Batteries)

NAICS

Basic Chemical Manufacturing (3251)

SIC

Industrial Inorganic Chemicals (2810)

akta.pro primary industry

Battery-Grade Chemical Processing (LiOH/Li2CO3, Ni/Co Sulfates, Mn Sulfate) (IMAKAFAI)

akta.pro secondary industry

Battery Raw Materials Mining & Refining (Lithium, Nickel, Cobalt, Manganese, Graphite) (EUAFABAA)

Keywords

• Lithium hydroxide production
• Battery cathode materials
• Spodumene ore refining
• EV battery precursors
• Lithium chemical manufacturing

Headquarters

HQ city

Gwangyang

HQ country

South Korea

HQ region

Asia

Offices2 records

Markets served

GTM type

B2B

Offering type

Hardware or Manufacturing

Cost components

Supply Chain, Operations, Infrastructure, Personnel, Technology or R&D, Marketing or Sales

Revenue model

1. Lithium Hydroxide (LiOH) Product Sales: The company generates revenue by producing and selling high-purity battery-grade lithium hydroxide derived from imported spodumene ore. Revenue is realized through long-term supply agreements (LTA) with battery manufacturers, as evidenced by the SK On contract for up to 15,000 tons over 3 years. As a newly operational facility (comprehensive completion November 2024), the company is scaling toward full production capacity.

Go-to-market motion1 record

Distribution channels1 record

Marketing channels3 records

Core offering

POSCO-Pilbara Lithium Solution manufactures and sells high-purity, battery-grade lithium hydroxide (LiOH) produced from imported spodumene ore at its 43,000-ton-per-year integrated complex in Gwangyang, South Korea. The product is supplied as a critical precursor for NCM (nickel-cobalt-manganese) cathode materials used in lithium-ion batteries for electric vehicles, sold exclusively through long-term supply agreements with major battery manufacturers. The company also markets a residual byproduct (spodumene processing residue) repurposed for civil engineering applications such as road base aggregate and concrete blocks.

Product overview

POSCO-Pilbara Lithium Solution operates a vertically integrated lithium hydroxide (LiOH) production complex consisting of two factories at its Gwangyang site. Factory 1 applies POSCO Group's proprietary electrodialysis-based lithium extraction technology, while Factory 2 uses a commercialized spodumene processing technology. The core product is battery-grade lithium hydroxide for electric vehicle batteries, produced from imported Australian spodumene ore sourced through the joint venture with Pilbara Minerals. The production process generates a byproduct residue (spodumene processing residue) that is sold for civil engineering applications.

Differentiator

Problem solved

Functional benefit

Products and services

• Battery-Grade Lithium Hydroxide (LiOH) High-purity battery-grade lithium hydroxide (LiOH) produced from imported spodumene ore, supplied as a key cathode precursor material for NCM (nickel-cobalt-manganese) lithium-ion batteries used in electric vehicles. Sold to EV battery and cathode material manufacturers via long-term supply agreements (LTAs).
• Spodumene Processing Residue Residue generated during the spodumene-to-lithium-hydroxide production process (40-50 micrometer particle size, ~29% moisture content, industrial waste code 51-02-99), repurposed for civil engineering applications including road base aggregate, concrete blocks, soil conditioning, and solidification agents. Approximate annual output of 430,000 tons at full capacity.

Named customers1 record

Segments1 record

Ideal customer profiles1 record

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature2 records

Partnerships

Three partnerships are on record, tiered core.

• Pilbara Minerals (Management Visit)coreStrategic or Co-development Partner · 29 October 2025Australian JV partner Pilbara Minerals' CEO Dale and his team visited POSCO-Pilbara Lithium Solution in October 2025 to reaffirm the strategic partnership and explore joint growth opportunities. The visit included tours of Factory 1, Factory 2, and POSCO Future M's cathode material plant, underscoring the ongoing collaborative relationship.
• SK OncoreChannel Partner/ Reseller/ Distributor · 22 November 2024Major Korean EV battery manufacturer. Signed a Long-Term Supply Agreement (LTA) in November 2024 for the supply of high-purity lithium hydroxide. POSCO-Pilbara Lithium Solution will supply up to 15,000 tons of LiOH over 3 years starting 2025, with potential for a 3-year extension.
• Pilbara MineralscoreStrategic or Co-development Partner · 18 April 2022Australian lithium mining company and joint venture partner with POSCO Holdings. Pilbara Minerals holds a stake in POSCO-Pilbara Lithium Solution and supplies spodumene lithium ore as the raw material input for the company's lithium hydroxide production. The JV company was established in April 2022, changing the company name from POSCO Lithium Solution to POSCO-Pilbara Lithium Solution. The partnership was reaffirmed during a management visit in October 2025.

Scale indicators5 records

Recent moves10 records

Expansion highlights5 records

Direct peers

• Ganfeng Lithium: One of the world's largest integrated lithium producers with significant battery-grade lithium hydroxide capacity from both brine and spodumene sources. Directly comparable to POSCO-Pilbara Lithium Solution as a major global LiOH supplier serving EV battery cathode manufacturers.
• Tianqi Lithium: Major Chinese lithium chemicals producer with large-scale spodumene-to-lithium-hydroxide operations and a stake in the Greenbushes mine (Pilbara Minerals' joint venture partner). Directly comparable in LiOH production for EV batteries.
• Arcadium Lithium (Livent): Specialty lithium chemicals producer focused on battery-grade lithium hydroxide and lithium carbonate for EV applications. A direct peer in the LiOH-for-cathode segment with overlapping customer base among global battery manufacturers.
• Mineral Resources (MinRes): Australian lithium and mining company operating the Mt Marion spodumene mine and developing downstream lithium hydroxide processing. A direct peer in the lithium chemicals value chain, competing for EV battery-grade supply contracts.

Broad incumbents

• Albemarle Corporation: The world's largest lithium producer with brine operations in Chile and the U.S., producing both lithium carbonate and lithium hydroxide. A broad incumbent with significantly larger scale than P-PLS but overlapping in the LiOH-for-EV-batteries market.
• SQM (Sociedad Química y Minera): Global lithium chemicals leader producing battery-grade LiOH and lithium carbonate from Chilean brine. A broad incumbent that competes with P-PLS for cathode-grade lithium supply contracts with major battery makers.

Others

• Pilbara Minerals: Australian spodumene producer and P-PLS's JV partner and sole ore supplier. Closely tied to P-PLS through equity ownership and offtake; adjacent rather than competing because Pilbara sits upstream in mining while P-PLS does refining.
• POSCO Future M: Sister POSCO Group company that manufactures NCM cathode active materials and is co-located with P-PLS in Gwangyang. Adjacent rather than competing because POSCO Future M is a downstream customer purchasing LiOH from P-PLS.

Emerging players

• Sichuan Yahua Industrial Group: Chinese lithium chemicals producer with lithium hydroxide capacity serving domestic and international battery manufacturers. An emerging peer with partial overlap in battery-grade LiOH production for EVs.
• Lithium Americas: Lithium developer with projects in Argentina (brine) and the U.S., moving into battery-grade lithium production. An emerging player with future overlap in the lithium chemicals supply market for EV batteries.

Market position

Strengths4 records

Weaknesses4 records

Competitive moat5 records

Key risks6 records

Key highlights7 records

Customer concentration

• LinkedInlinkedin.com/company/posco-pilbara-lithium-solution

Compliance2 records

Revenue estimate

Valuation estimate

Number of profiles

Profiles2 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about POSCO-Pilbara Lithium Solution