Eramet and Suez have announced the suspension of their planned battery recycling plant in northern France, initially set to commence construction this year. The joint project, unveiled in March 2022, aimed to establish a dual-facility operation in the Grand Port Maritime of Dunkerque, comprising a dismantling plant and a hydrometallurgy plant, with a projected annual processing capacity of 50,000 tonnes of battery modules.
According to Eramet, the decision to halt the project stems from the sluggish ramp-up of battery factories and their component suppliers in Europe. This has created significant uncertainties regarding the availability of raw materials for the plant and the feasibility of recycling metallic salts.
“The required conditions for pursuing a hydrometallurgical battery recycling plant project in France are not currently met,” Eramet stated in its annual report, citing the need for a “solid and sustainable economic model in Europe” before reactivating the project.
Geoff Streeton, Executive Vice President & Chief Development Officer at Eramet, emphasized the importance of developing a circular economy for critical metals in Europe, with end-of-life battery recycling playing a pivotal role. However, he acknowledged that the current market reality, marked by a slow battery factory ramp-up, hinders the securing of raw materials and the identification of downstream customers for recycled metal salts.
This development follows the recent cancellation of a similar joint venture between Stellantis and Orano, also aimed at recycling electric car batteries in France, although no reasons were publicly disclosed. Eramet has indicated that it will continue to monitor market fundamentals to potentially revive the project when economically viable.
Source: electrive
