According to an announcement, the Canadian steel producer has signed a memorandum of understanding with Primobius GmbH, a 50-50 joint venture between SMS group and Australia’s Neometals Ltd. 

The goal of the agreement is to establish a framework under which the companies would set up and operate a jointly owned North American battery recycling operation. 

Primobius would contribute a recycling plant initially with a nominal capacity of 20,000 tons annually, and Stelco would ensure the supply of batteries to be recycled. According to the announcement, Stelco is looking to build a vehicle recycling operation. The battery plant would be located next to that operation. 

According to the announcement, the battery recycling plant will be modeled on Primobius’ proprietary refining process, which is to undergo trials in Germany — a demonstration plant is being assembled at an SMS group site in Hilchenbach. 

Under the agreement, Primobius and Stelco intend to share information, conduct due diligence, collaborate and build a business case for a long-term commercial relationship between the parties.

“This memorandum of understanding with Stelco is significant and represents not only another recycling partnership validation for Primobius, but the first targeting end-of-life electric vehicle batteries. It also represents (Primobius’) first commercial relationship in North America, which is home to five battery megafactories in production,” Primobius said.