Lithium-ion battery end-of-life management | Chat with Gaurav Dolwani – CEO, LICO

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The proper end-of-life management of Lithium-ion batteries is set to play a huge role in ensuring the environmental benefits of the current shift to electric vehicles in the long run. We spoke to Gaurav Dolwani – CEO of battery recycling company LICO Materials, about a variety of aspects related to end-of-life battery management and their work in the space.

What is the current scale of operations at LICO? What activities in the LIB recycling process does LICO currently undertake?

 LICO currently operates a 3000 MT per annum facility of battery feedstock in Navi Mumbai. We are building another facility in Karnataka with a capacity of 5000 MT per annum of battery feedstock, which will be made operational in Q1 2024.

The end-of-life batteries received are initially segregated into refurbishing and recycling categories. At this stage, we are doing mechanical separation for the batteries suitable for recycling and successfully segregating plastic, copper, aluminium, and iron, leaving us with Black Mass powder which is a combination of anode and cathode materials from which critical metal salts containing Cobalt, Nickel, and Lithium can be extracted. Currently, we are exporting this black mass to South Korea and the USA for extraction of the critical metal salts but are working on building our downstream facility for the salt extraction process in India.

The refurbished batteries are used in energy storage applications for a second life. To strengthen this vertical, LICO has commissioned a dedicated Battery Testing Laboratory where batteries received from the mobility segment are checked, sorted, and tested for a second-life application. This enhances the shelf-life of existing batteries, utilizing their full potential.

Please tell us more about your plans for setting up a black mass refining plant by FY25.

We aim to set up a Black Mass refining facility with a capacity of processing 10000 MT per annum of Black Mass, giving us an output of metal salts such as Cobalt Sulfate, Nickel Sulphate, Manganese Oxide and Lithium Carbonate. These salts can be re-utilized in the manufacturing industry, reducing dependency on mining. We are in discussion with different states for land acquisition and infrastructural possibilities.

Which refining technology are you exploring or planning to set up?

We plan to use Hydrometallurgy for Black Mass refining. We are in the final stages of discussions with commercially proven global recyclers for technology transfer. At the same time, we are considering newer technologies too, such as Direct Recycling, as we believe they could be game-changing once commercially proven.

At what scale do the battery operations become economically lucrative?

For LIB recycling, economic viability is possible once a certain scale is achieved. This scale can be achieved through clear government policy and private-public participation. Once a recycler is able to incorporate downstream technology, which is commercially proven for the recovery of metal salts, the economic viability becomes greater.

How can we formalize and make the battery collection process more inclusive so as to increase the collection of spent batteries?

The Ministry of Environment, Climate Change and Forests released the Battery Waste Management Rules in 2022, which clearly define the role of each party in the recycling ecosystem. These rules are very progressive and proactive. The challenge for Indian LIB battery recyclers is to route the end-of-life batteries to the authorized recycling set-ups, as they are currently being handed over to the informal sector in large volumes.

– We need to sensitize the end consumer to make efforts and give end-of-life batteries to authorized recyclers only.

– We need to include the battery dealer network into EPR (Extended Producer Responsibility) as, currently, there is no obligation for them to recycle any batteries.

– It is crucial that we include auto manufacturers who are using battery packs that are not manufactured by them as they have no obligations and are selling the original OEM’s batteries in the informal sector.

How will the tie-up with Karo Sambhav help you access the spent LIBs?

Karo Sambhav has an excellent record of being at the forefront of waste collection, management and disposal. Their seamless execution and stringent documentation trail are the best in the country. Along with their pan India network of warehousing, logistics and manpower, they will provide end-to-end solutions to our partners. Both LICO and Karo Sambhav are aligned towards good governance, transparency, and traceability for our partners. There is an app and portal in place which provides all necessary information for each battery pack from the time of collection till it reaches our processing unit and the journey thereafter.

Do you have any other tie-ups to help with the spent battery collection?

LICO has signed long-term offtake agreements with Electric Vehicles Manufacturers, Energy Storage Companies and Battery Pack Importers and Assemblers. We are in discussions with cell manufacturers for their production waste. We are also in talks with anode and cathode manufacturers to supply the raw materials they require through recovered metals from spent batteries.

Also Read: LICO and Karo Sambhav Collaborate for Lithium-ion battery recycling