ICL Expanding Specialty Product Offerings to Meet Growing Demand from Electric Vehicle Battery Market

Rhea-AI Summary

ICL has announced the capability to provide a complete range of mono ammonium phosphate (MAP) solutions from its YPH joint venture in China, enhancing flexibility and cost-effectiveness in meeting unique customer specifications. This comes amid a significant growth opportunity in the lithium iron phosphate (LFP) battery market, expected to reach over 1 million tons with a market value of up to $5 billion by 2030. ICL is also collaborating with the Columbia Electrochemical Energy Center to improve battery technologies, aiming to capitalize on the increasing demand for EVs and energy storage.

Positive

• ICL can now offer a full range of MAP solutions from its YPH plant in China, enhancing flexibility and cost efficiency.
• The LFP battery market is projected to grow at a 25% CAGR through 2030, with increasing demand for EV and energy storage solutions.
• ICL's collaboration with Columbia University aims to improve battery safety and energy density, potentially boosting innovation in the sector.

Negative

• None.

Company collaborating with Columbia Electrochemical Energy Center to advance lithium iron phosphate battery technology

TEL AVIV, Israel--(BUSINESS WIRE)-- ICL (NYSE: ICL) (TASE: ICL), a leading global specialty minerals company, today announced it is now able to offer a complete range of mono ammonium phosphate (MAP) solutions from its YPH joint venture plant in China. As YPH controls the entire phosphate value chain, from the mine to the product, it is able to provide both flexibility and cost effectiveness, while also meeting unique customer specifications. ICL is committed to creating additional capacity to meet rapidly increasing customer demand for specialty MAP products, including for the production of lithium iron phosphate (LFP) batteries destined for electric vehicles and other energy storage.

Over the past several years, Chinese producers have been leading in the LFP battery space, which currently accounts for approximately 23% of the global Li-ion battery market and is expected to grow at a 25% CAGR through 2030, per Cairn ERA. LFP-based batteries have benefitted from recent design enhancements, which have improved the energy density of the overall battery, resulting in greater range and created potential additional end-markets for these batteries.

“It’s no surprise LFP is one of the fastest growing sectors of the battery industry, as this technology offers superior safety at a lower cost and with a longer life. LFP also reduces exposure to conflict metals, which aligns with our mission to transform from a company that extracts minerals to a company that uses its minerals to create sustainable solutions for humanity,” said Anantha Desikan, EVP and chief innovation and technology officer of ICL.

ICL considers strong demand for EV and energy storage as a significant source of potential growth for its phosphate- and bromine-based specialty products, in both the short- and long-term. The company is currently exploring partnerships with customers who are focused on expanding the use of LFP, and other specialty technology, in Europe and the United States. By 2030, Cairn ERA forecasts global demand for LFP batteries will reach more than 1 million tons, for a market value of up to $5 billion, due to a shift toward the lower cost cathode materials used in more affordable EV automobile models. ICL expects to leverage both its knowledge of LFP and its global phosphate footprint to capitalize on this emerging trend and is also collaborating with the Columbia Electrochemical Energy Center (CEEC) of Columbia University, to improve battery safety and energy density and is exploring multiscale modeling across lithium iron phosphate, lithium metal and zinc-bromine batteries.

“We’re pleased to build on our previous research collaborations with ICL Group,” said Dan Steingart, co-director of CEEC and the Stanley-Thompson Associate Professor of Chemical Metallurgy at Columbia University. “This new project significantly expands our relationship and allows us to jointly explore strategies to address energy storage and conversion via next generation batteries, by leveraging ICL’s core strengths, including LFP technology.”

About ICL

ICL Group is a leading global specialty minerals company, which also benefits from commodity upside. The company creates impactful solutions for humanity's sustainability challenges in global food, agriculture, and industrial markets. ICL leverages its unique bromine, potash and phosphate resources, its passionate team of talented employees, and its strong focus on R&D and technological innovation to drive growth across its end markets. ICL shares are dually listed on the New York Stock Exchange and the Tel Aviv Stock Exchange (NYSE and TASE: ICL). The company employs more than 12,000 people worldwide, and its 2020 revenues totaled approximately $5.0 billion.

For more information, visit ICL's website at www.icl-group.com.
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About CEEC

The Columbia Electrochemical Energy Center (CEEC) is using a multiscale approach to discover groundbreaking technology and accelerate commercialization. CEEC joins together faculty and researchers from across Columbia University’s School of Engineering and Applied Sciences who study electrochemical energy with interests ranging from electrons to devices to systems. CEEC’s industry partnerships enable the realization of breakthroughs in electrochemical energy storage and conversion.

Forward-Looking Statements

This announcement contains statements that constitute forward‑looking statements, many of which can be identified by the use of forward‑looking words such as anticipate, believe, could, expect, should, plan, intend, estimate, strive, forecast, target, and potential, among others. Forward‑looking statements are based on our management’s beliefs and assumptions and on information currently available to our management. Such statements are subject to risks and uncertainties, and the actual results may differ materially from those expressed or implied in the forward‑looking statements due to various factors including other risk factors discussed under Item 3 - Key Information - D. Risk Factors in the company's annual report on Form 20-F for the year ended December 31, 2020, filed with the U.S. Securities and Exchange Commission (SEC) on March 2, 2021 (the Annual Report).

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Investor Relations Contacts

Peggy Reilly Tharp

VP, Global Investor Relations

+1-314-983-7665

Peggy.ReillyTharp@icl-group.com

Dudi Musler

Director, Investor Relations

+972-3-684-4448

Dudi.Musler@icl-group.com

Press Contact

Adi Bajayo

Scherf Communications

+972-52-4454789

Adi@scherfcom.com

Source: ICL Group LTD

FAQ

What does ICL's recent announcement involve regarding MAP solutions?

ICL announced its capability to offer a complete range of mono ammonium phosphate (MAP) solutions from its YPH joint venture plant in China, enhancing cost-effectiveness and flexibility.

How is ICL targeting the lithium iron phosphate battery market?

ICL is focusing on the rapidly growing LFP battery market, which is expected to reach over 1 million tons by 2030, with a market value of up to $5 billion.

What collaboration is ICL pursuing to enhance battery technology?

ICL is collaborating with the Columbia Electrochemical Energy Center to improve the safety and energy density of next-generation batteries.

What is the expected growth rate of the LFP battery market?

The LFP battery market is anticipated to grow at a 25% compounded annual growth rate (CAGR) through 2030.