Secured the right to be supplied with 30% of the lithium concentrate allocated to the joint venture from the Wodgina and Mt. Marion mines, expecting dividend income and synergies with downstream processing.

Realizing the vision of “Sojae-Boguk” (contributing to national development through materials) by preemptively securing high-quality global resources, further strengthening competitiveness in rechargeable battery materials

POSCO Holdings (CEO Chang, In-Hwa) is further strengthening its supply chain competitiveness for rechargeable battery materials by signing a stake investment agreement with a top-tier Australian lithium mine to ensure a stable supply of high-grade spodumene.

On the 30th, POSCO Holdings signed a lithium mine stake investment agreement worth approximately USD 765 million (approx. KRW 1.1 trillion) with Mineral Resources, an Australian mining and mining services company, in Perth, Australia.

This agreement materializes the investment plan for Australian lithium mines announced last November. POSCO Holdings will establish a new intermediate holding company with Mineral Resources and acquire a 30% stake in it.

Through this contract, POSCO Holdings has secured the right to be supplied with 30% of the lithium concentrate produced by the joint venture (LithiumCo) from the Wodgina and Mt. Marion mines in Western Australia.

Wodgina and Mt. Marion are considered premier lithium mines in Australia. The Wodgina mine is ranked among the top 5 global mines, boasting a high concentrate grade of 5.5% and reserves of approximately 6.2 million tons (lithium carbonate equivalent). The Mt. Marion mine, with reserves of approximately 2.2 million tons, is recognized as a core asset capable of stable lithium supply based on its proven production capabilities and long operational history.

Through this stake agreement, POSCO Holdings plans to not only secure stable dividend income but also solidify its lithium value chain—from raw material mining to material production—by obtaining long-term supply rights for lithium concentrate.

Lee Ju-tae, President of POSCO Holdings, stated, “This collaboration is highly significant as it combines Mineral Resources’ mining operational expertise with POSCO Holdings’ downstream processing technology to contribute to the stabilization of the global battery material supply chain. Based on our solid mutual trust, we will continue to strengthen our long-term partnership in the global lithium market.”

Chris Ellison, CEO of Mineral Resources, remarked, “We are delighted to sign this agreement with POSCO Holdings, which marks a significant milestone in establishing a robust foundation for a partnership that will span decades. We look forward to finalizing the remaining procedures, including merger filings, and completing the transaction promptly.” He added, “This partnership is a landmark case of a major Korean company investing in the Australian lithium industry. We will concentrate all our capabilities to ensure that the Wodgina and Mt. Marion mines reach their full potential as the world’s best hard rock lithium assets.”

Following the recent acquisition of additional lithium salt lakes in Argentina and this investment agreement in Australian spodumene, POSCO Holdings is executing its strategy of “preemptive acquisition of global high-quality resources,” a key focus since POSCO Holdings CEO Chang, In-Hwa took office. The POSCO Group plans to realize its vision of “Sojae-Boguk”—contributing to national development through materials—by localizing rechargeable battery materials and strengthening raw material self-sufficiency, thereby solidifying its competitiveness in the global rechargeable battery material market.

▲ POSCO Holdings signed a lithium mine investment agreement worth USD 765 million with Mineral Resources in Perth, Australia, on the 30th. (From left) Josh Thurlow, Chief Executive of Lithium at Mineral Resources; Mark Wilson, CFO of Mineral Resources; Chris Ellison, CEO of Mineral Resources; Lee Ju-tae, President of POSCO Holdings; and Lee Sung-won, Head, and Lee Chul-kyu, Vice President, of the Energy Materials Business Development Office.

▲ A view of the Wodgina lithium mine in Western Australia, owned and operated by Mineral Resources.

Reduced settlement period from five days to three, improving fund management efficiency

POSCO INTERNATIONAL (CEO Lee Kye-In) announced on the 23rd that it issued blockchain-based digital bonds, marking the first instance among non-financial companies in Korea.

Digital bonds are securities in which the entire process of issuance, registration, trading and settlement is carried out using blockchain technology, offering enhanced security, faster settlement and greater accessibility for global investors compared with traditional bonds.

Valued at about KRW 140 billion (approximately HKD 780 million), the digital bonds issued by POSCO INTERNATIONAL were placed privately. The global financial institution HSBC served as the sole lead manager. The issuance marks the second such case in Korea, following Mirae Asset Securities, and the first by a non-financial company.

POSCO INTERNATIONAL reduced the settlement period for conventional foreign-currency bonds from five business days to three with the introduction of digital bonds. The move is expected to improve fund management efficiency by increasing the speed of capital turnover, while further expanding investor accessibility as a globally integrated business company.

Furthermore, the company expects a reduction in procurement interest rates through the “Issuance Cost Subsidy Scheme,” which Hong Kong financial authorities are providing on a temporary basis to vitalize the digital bond market.

As a global trading company centered on energy, materials, and agro businesses, POSCO INTERNATIONAL maintains a business structure in which stable foreign currency procurement is vital. Starting with this issuance, the company plans to accelerate the digitalization of finance while proactively responding to the markets of smart contracts and security token offerings (STOs, securities that divide real financial assets based on blockchain for issuance and distribution).

Meanwhile, POSCO INTERNATIONAL and HSBC held a signing ceremony for the issuance of digital bonds on the 16th at HSBC headquarters in Jung-gu, Seoul. The event was attended by Chung Kyung-Jin, Head of Corporate Strategy and Finance Group at POSCO INTERNATIONAL, and Rhee Sang-ho, CEO of HSBC Securities. Taking this issuance as an opportunity, both companies agreed to strengthen cooperation in the field of digital finance, including the introduction of blockchain and digital financial technologies, financing efficiency, and digital transformation.

“This issuance is a milestone that realizes digital transformation in the fund procurement sector following the introduction of a blockchain-based global payment system last year,” Chung Kyung-Jin, Head of Corporate Strategy and Finance Group at POSCO INTERNATIONAL, remarked at the signing ceremony. “We are actively promoting a full-scale digital transformation based on our digital transformation (DX) master plan and will proactively respond to changes in the digital finance environment, such as the STO market, to further strengthen our procurement competitiveness in the global market.”

Construction of an integrated steel mill in Odisha with an annual crude steel capacity of 6 million tons… Aiming for completion by 2031

A representative case of POSCO Group’s “Complete Localization Strategy” to preoccupy the high-growth Indian steel market

Establishing a “Virtuous Cycle Growth Model” where global profits fund domestic decarbonization transition investments

POSCO (President: Lee, Hee-geun) is embarking on a significant expansion of its global steel business by commencing the construction of an integrated steel mill* in India, a high-growth market with a population of 1.46 billion.

*Integrated Steel Mill: A steel plant equipped with the full range of processes, including ironmaking (producing molten iron), steelmaking (removing impurities), and rolling (producing finished steel products)

On the 20th (local time), POSCO signed a Joint Venture Agreement (JVA) with JSW Steel, India’s leading steelmaker, to build an integrated steel mill in India. This collaboration, built on a strong partnership between the two companies, aims to target high-profit markets within India and further strengthen the global steel supply chain.

The signing ceremony was attended by top executives from both groups, including Chang, In Hwa, CEO of POSCO HOLDINGS, Sajjan Jindal, Chairman of JSW Group, Lee, Hee-guen, President of POSCO, and Jayant Acharya, CEO of JSW Steel.

Following a direct meeting and Memorandum of Understanding (MOU) between CEO Chang, In Hwa and Chairman Sajjan Jindal in October 2024, the two companies solidified their cooperation through a HOA* in July 2025. With this final contract, the joint venture now enters the full-scale construction and execution phase. The joint venture is structured as an equal partnership, with each company holding a 50% stake.

*HOA: Non-Binding Heads of Agreement.

The new integrated steel mill will be blast-furnace-based, featuring a complete production system—from ironmaking, steelmaking, and hot rolling to cold rolling/galvanizing—capable of producing high-value-added premium steel. The facility will have an integrated production capacity of 6 million tons of crude steel. A site has been secured in Odisha, offering proximity to iron ore mines and efficient access to logistics, power, and infrastructure. The project aims for completion by 2031, following a 48-month construction period after groundbreaking.

Both companies are reviewing plans to combine POSCO’s low-carbon operational technology and Smart Factory capabilities with JSW’s renewable energy infrastructure to supply a portion of the plant’s power with renewable energy. Through this, they intend to establish a low-carbon production system that aligns with the “Green Steel Taxonomy” established by the Indian government in December 2024, the first of its kind in the world.

President Lee, stated, “Through this joint venture, we will combine POSCO’s innovative steelmaking technology with JSW Group’s strong local competitiveness. We are committed to creating future value and making a substantial contribution to the industrial development and economic growth of both nations.”

CEO Jayant Acharya commented, “This partnership with POSCO will serve as an opportunity to unite the vision and determination of both companies. We expect this to be a significant step in strengthening the Indian steel ecosystem and solidifying the national industrial value chain.”

The Indian steel mill construction project, a long-held ambition for POSCO, has finally come to fruition as the “Complete Localization Strategy” achieved tangible results following the inauguration of CEO Chang.

Since 2004, POSCO has explored entering the upstream sector in India on four separate occasions but faced challenges such as finding the right joint venture partner and securing land. However, the company successfully carried out downstream investments, including electrical steel and automotive steel sheet plants, and has accumulated extensive business experience in India by strengthening its partnership with the JSW Group, which owns India’s leading steelmaker.

A representative example of this robust partnership occurred in 2022 when the Pohang Steelworks was flooded due to Typhoon Hinnamnor. At that time, JSW Group readily provided POSCO with equipment originally being manufactured for its own hot rolling mill, significantly accelerating the recovery of POSCO’s No. 2 Hot Rolling Mill.

Driven by GDP growth, urbanization, population increases, and manufacturing expansion, India is a high-growth market where steel consumption has grown by over 10% annually in recent years. In particular, demand for high-value-added steel is expected to rise as the premium market for automotive and home appliances expands due to increasing incomes and a shift toward premium consumption patterns.

POSCO Group plans to directly overcome the crisis of global protectionism through its “Complete Localization Strategy,” which includes building the integrated steel mill in India, investing in the steel plant in Louisiana, U.S., and collaborating with Cleveland-Cliffs. Meanwhile, in Korea, the company is focusing on high-value-added products, transitioning to Intelligent Factories through the integration of AI and robotics, and developing Korean-style hydrogen reduction steelmaking to secure future growth drivers.

Notably, as CEO Chang mentioned in his 2026 New Year’s address, this investment is highly significant as it establishes a crucial bridgehead for a virtuous cycle: utilizing profits generated in global markets to fund decarbonization transition investments back in Korea.

▲ POSCO signed a Joint Venture Agreement with JSW Steel, India’s No. 1 steelmaker, on the 20th to build an integrated steel mill. (From right) Chang, In Hwa, CEO of POSCO HOLDINGS; Lee, Hee-guen, President of POSCO; Jayant Acharya, CEO of JSW Steel; and Sajjan Jindal, Chairman of JSW Group.

Chang, In-Hwa, CEO of POSCO HOLDINGS, shared the POSCO decarbonization roadmap and emphasized solidarity to secure market value for low-carbon steel

POSCO honored as a ‘Sustainability Champion’ for 5 consecutive years… proving global ESG leadership

Chang, In-Hwa, CEO of POSCO HOLDINGS, attended the regular meeting of the World Steel Association (worldsteel) held in Berlin, Germany, to emphasize the critical importance of global cooperation in the transition to decarbonization.

On the 13th (local time), CEO Chang participated in the Executive Committee meeting, the highest decision-making body of worldsteel, representing the Korean steel industry. The meeting brought together CEOs from global steel giants—including China Baowu Steel Group, Nippon Steel, and India’s JSW—to engage in in-depth discussions on key mid-to-long-term challenges, such as responding to the energy crisis, the industrial impact of geopolitical risks, and the international standardization of carbon emission measurement.

During the session, he highlighted that the ‘decarbonization transition’ is a collective imperative for the steel industry, even amidst structural headwinds like slowing demand and rising energy costs. CEO Chang took the opportunity to share the POSCO decarbonization roadmap with global peers.

“Close cooperation and solidarity across the global steel industry are essential for a successful decarbonization transition and for ensuring that low-carbon steel products are recognized for their fair value in the market,” he stated.

Following the meeting, CEO Chang held a series of bilateral discussions with industry leaders, including Sajjan Jindal, Chairman of JSW Group (India), and Liu Jian, Chairman of HBIS Group (China). He exchanged views on core issues such as overseas steel investment, carbon reduction technology, and supply chain stabilization, exploring new business opportunities to secure future growth engines for the group.

The visit also yielded significant recognition. At the member meeting held the following day, CEO Chang accepted the ‘Sustainability Champion’ plaque on behalf of POSCO. This certification is awarded by worldsteel to companies that lead the sustainable development of the steel industry. By being selected for five consecutive years since 2022, POSCO has once again solidified its position as a global leader in ESG management.

▲ On the 14th (Berlin local time), POSCO was named a ‘Sustainability Champion’ by worldsteel. From the left: Chang, In-Hwa, CEO of POSCO HOLDINGS, and Uğur Dalbeler, Chairman of worldsteel and Chairman of Çolakoğlu Metalurji A.Ş. (Türkiye).

Implementing ‘ Edge AI’ directly integrated into on-site control systems to improve manufacturing data security and productivity 

POSCO DX is pursuing the realization of an intelligent factory capable of immediate AI analysis and control on-site by utilizing domestic NPU to replace foreign GPU and reduce AI infrastructure costs.

POSCO DX (CEO Shim Min-suk) signed a business agreement with AI semiconductor startup Mobilint (CEO Shin Dong-joo) at the POSCO DX Pangyo headquarters on the 2nd to implement AX utilizing NPU. Prior to this agreement, in February, POSCO DX invested a total of 3 billion won in Mobilint through the ‘POSCO DX Corporate Venture Capital (CVC) New Technology Investment Fund,’ which it co-funded with POSCO Technology Investment.

NPU are semiconductors specialized for AI computations, such as deep learning and machine learning. Compared to GPUs, they are optimized for AI inference, offering the advantages of reduced infrastructure costs and high power efficiency. In particular, they are suitable for implementing “Edge AI” by being directly integrated into field equipment control systems, bypassing remote AI data centers or servers. This enables immediate inference without data leakage in manufacturing sites where security is critical, thereby ensuring both security and real-time performance simultaneously.

Under this collaboration, POSCO DX plans to realize an intelligent factory capable of immediate AI analysis and control at the industrial site equipment control stage by integrating Mobilint’s NPU into its in-house developed industrial control system, PosMaster. To this end, both companies will jointly pursue technology development and application to ensure that POSCO DX’s AI model algorithms deliver optimal performance in Mobilint’s NPU-based environment.

Mobilint is the only company in Korea possessing high-performance NPU technology capable of running Large Language Models (LLM) in edge environments. Mobilint’s high-performance NPU enables real-time decision-making and control utilizing vast field data generated from sensors and equipment, and is expected to contribute to accelerating the realization of POSCO Group’s intelligent factory.

POSCO DX plans to expand its edge AI technology to transition existing GPU-based AI systems to NPUs and apply them to various industrial sites, including steel and secondary battery material production facilities as well as logistics.

Cho Seok-joo, Head of the AX Convergence Research Institute at POSCO DX, emphasized, “Through this collaboration , we have been able to secure LLM-based edge AI technology essential for realizing intelligent factories.” He added, “We will develop this into a successful example of collaboration and mutual growth with a domestic startup, rather than a simple NPU supply relationship, to ensure that POSCO Group establishes itself as a company leading the paradigm shift in manufacturing AI .”

Meanwhile, POSCO Group is actively promoting the realization of safe and comfortable workplaces based on technology by expanding intelligent factories to manufacturing sites to respond promptly to the industrial paradigm shift, including AX.

▲ (From left) Cho Seok-ju, Head of POSCO DX AX Convergence Research Institute, and Shin Dong-ju, CEO of Mobilint, are posing for a commemorative photo after signing a business agreement for cooperation in the commercialization of technologies in the manufacturing, logistics, and safety sectors using AI semiconductors at the POSCO DX Pangyo headquarters.

A combination of POSCO Future M’s anode material technology and Molten’s methane-based graphite production technology expected to strengthen the raw material supply chain and cost competitiveness

Young-jun Hong, Head of the POSCO Future M Technology Research Laboratory: “We will leverage the combined technological strengths of both companies to secure differentiated competitiveness in the global market”

POSCO Future M is embarking on the development of natural graphite anode material from non-mined raw materials, in collaboration with U.S.-based Molten.

On the 11th, POSCO Future M signed a memorandum of understanding (MOU) with Molten at COEX in Seoul for the joint development of natural graphite anode material feedstock using methane gas.

The signing ceremony was attended by Young-jun Hong, Head of the POSCO Future M Technology Research Laboratory; Kevin Bush, Chief Executive Officer (CEO) of Molten; Caleb Boyd, Chief Technology Officer (CTO) of Molten; and executives and employees from both organizations.

Through this agreement, POSCO Future M will combine its anode material technology with Molten’s methane-based graphite production technology to strengthen its anode material feedstock supply chain. Under the planned arrangement, Molten will produce graphite via methane pyrolysis, which POSCO Future M will then process into spherical graphite through its subsidiary FutureGraph before producing natural graphite anode material at its Sejong plant.

Graphite produced from methane gas contains lower levels of metallic impurities than mined graphite, reducing the number of purification steps required and yielding substantial cost savings in the production of natural graphite anode material. In addition, methane pyrolysis generates hydrogen as a co-product alongside graphite, which is expected to create synergies at the POSCO Group level, including potential use of the hydrogen for power generation or as a feedstock for POSCO’s hydrogen-based direct reduction steelmaking operations.

Young-jun Hong, Head of the POSCO Future M Technology Research Laboratory, said, “We have until now relied on graphite mined from conventional sources, but by combining the raw material and advanced materials expertise of both companies, we will secure key feedstock through an entirely new approach.” He added, “We expect this to give us a differentiated competitive edge in the global market through both supply chain diversification and cost reduction.”

Molten is the world’s only company capable of producing graphite via methane pyrolysis, and is headquartered in California.

Separately, POSCO Future M is working to vertically integrate its anode-material feedstock supply chain, drawing on the POSCO Group’s broader capabilities. For natural graphite anode material, the company plans to establish a supply chain in which graphite ore is sourced from Africa and other regions through the POSCO Group and processed into spherical graphite at its subsidiary FutureGraph. For artificial graphite anode material, coal-based and petroleum-based coke derived from coal tar generated in POSCO’s steelmaking process is used as the primary feedstock.

▲ POSCO Future M and Molten signed a memorandum of understanding at COEX in Seoul on the 11th to jointly develop natural graphite anode material feedstock using methane. Pictured from left: Young-jun Hong, Head of the POSCO Future M Technology Research Laboratory; Caleb Boyd, Chief Technology Officer (CTO) of Molten.

Jin-nyeong Yoo appointed as Chair of the Board; Joo-yeon Kim appointed as new Outside Director; Jun-gi Kim reappointed as Audit Committee member

Seok-mo Jung appointed as new Inside Director; Hee-geun Lee appointed as Non-Executive Director; Ju-tae Lee and Ki-soo Kim reappointed as Inside Directors

Annual dividend for FY2025 confirmed at KRW 10,000 per share; shareholder value enhancement commitment fulfilled through 2% treasury share cancellation, achieving the three-year 6% target

POSCO Holdings held its 58th Ordinary General Meeting of Shareholders and a board meeting on March 24 at POSCO Center in Seoul, where key agenda items were approved.

In his opening remarks, In-hwa Chang, Chairman of POSCO Group, stated, “Despite challenging external conditions last year, including the expansion of global protectionism and an industrial slowdown, we strengthened the foundation for growth in our ‘2 Core’ businesses of steel and secondary battery materials.”

Chairman Chang added, “We will make 2026 a true inflection point for delivering tangible results,” outlining key initiatives for the year ahead: securing profitability through steel joint ventures in North America and India; realizing the outcomes of investments in secondary battery materials through the commencement of commercial lithium production in Argentina and earnings contributions from lithium mining operations in Australia; and expanding the value chain of infrastructure businesses, including energy and food.

He also emphasized that safety is a fundamental prerequisite for growth, highlighting the importance of establishing a worker-centered safety culture and building a safer and more efficient operational environment through the integration of AI and robotics.

All agenda items related to the appointment of directors were approved at the shareholder’s meeting. Joo-yeon Kim, former Vice President for Japan and Korea at P&G and a global marketing and management expert, was appointed as a new outside director. Jun-gi Kim, whose term as outside director had expired, was reappointed as a member of the Audit Committee.

Seok-mo Jung, Head of the Business Synergy Division, was newly appointed as an inside director. Ju-tae Lee, Head of the Corporate Strategy Division, and Ki-soo Kim, Head of POSCO N.EX.T Hub, were reappointed as inside directors. Hee-geun Lee, President and CEO of POSCO, was appointed as a non-executive director.

At the subsequent board meeting, outside director Jin-nyeong Yoo was appointed as Chair of the Board. Chair Yoo is a leading expert in advanced materials and secondary battery technologies, having previously served as Chief Technology Officer of LG Chem.

At the shareholder’s meeting, shareholders also approved the FY2025 financial statements, partial amendments to the Articles of Incorporation, and the cap on director remuneration. In addition, a year-end dividend of KRW 2,500 per share was approved, bringing the total annual dividend to KRW 10,000 per share. The Company also received approval to cancel treasury shares equivalent to 2% of total issued shares (approximately KRW 635.1 billion), thereby fulfilling its commitment to enhance shareholder value under the previously announced plan to cancel a total of 6% of treasury shares over three years (announced in July 2024).

▲ POSCO Group Chairman In-hwa Chang presides over the 58th Ordinary General Meeting of Shareholders of POSCO Holdings.

Selected a specialist in rare earth separation and refining as its first investment target, committing KRW 8 billion

Secured raw material sources in Southeast Asia, including Malaysia and Laos for a production foundation with an annual capacity of 4,500 tons

Plans to establish a joint plant with U.S.-based ReElement to complete a North American production system for rare earths/permanent magnets/traction motor cores by 2028

POSCO INTERNATIONAL is accelerating the development of a global supply chain for heavy rare earth elements, essential materials for electric vehicle (EV) traction motors.

Partnering with POSCO INVESTMENT, the company has launched its inaugural KRW 25 billion CVC fund, and the fund’s first strategic move involves an KRW 8 billion investment in a domestic specialist in rare earth separation and refining.

This fund is more than a financial vehicle as it will serve as a strategic investment platform for technological synergy and new business expansion. The fund will be managed by POSCO INVESTMENT, a venture investment specialist within the POSCO Group, and both companies plan to continuously identify promising technology companies that align with future growth strategies.

At its heart, this investment is about securing a stable supply of heavy rare earths. Elements such as dysprosium (Dy) and terbium (Tb) are essential for high-performance magnets in EV traction motors, as they allow them to stay magnetic even under intense heat. However, because production and refining are concentrated in a few countries, these materials pose a significant structural risk to the global supply chain.

The target company of this investment is a domestic specialist in rare earth separation and refining that possesses integrated process capabilities ranging from separation and refining to metallization. The company holds proprietary technology to produce heavy rare earth oxides at 99.5% purity and further reduce them into metals at 99.9% purity. Through this investment, the company intends to secure a stable supply source within the supply chain of heavy rare earths and build a stronger foundation for future business growth.

Alongside this domestic investment, the company is also making Southeast Asia as a base to strengthen its global system for raw material procurement. It plans to establish a USD 30 million joint venture with a specialized Malaysian company for separation and refining, validate an environmentally friendly mining and stable production system, and then proceed to full-scale mass production. In addition, the company is participating in a rare earth separation and refining project in Laos to expand its raw material procurement network across Southeast Asia.

These regional efforts are expected to secure an annual supply of roughly 4,500 tons of rare earth separation and refining products (approximately USD 230 million at today’s market prices) that can be secured from Southeast Asia. POSCO INTERNATIONAL intends to make additional investments in the future to expand production capacity to more than 10,000 tons.

The company is also accelerating its entry into the North American market, leveraging raw materials secured in Southeast Asia. In partnership with the U.S.-based company ReElement, it is establishing a joint rare earth separation and refining plant with an annual capacity of 3,000 tons, with full-scale production scheduled to begin in the second half of 2027. Furthermore, it plans to secure an annual production capacity of 3,000 tons for permanent magnets by 2028.

Through this series of investments, it aims to complete the full rare earth value chain—from mining to separation and refining to permanent magnet production—and integrate it with the manufacturing of traction motor core to continuously strengthen the competitiveness of its core EV parts business.

“This investment is a strategic move to simultaneously diversify our core mineral supply chain and sharpen our competitiveness in the mobility materials business,” a POSCO INTERNATIONAL official stated. “Moving forward, we will continue to leverage our CVC fund to identify promising companies with strong business synergy and secure new growth drivers for the future.”

Meanwhile, POSCO Group Chairman Chang In-hwa has consistently emphasized the importance of timely investments in core minerals to stabilize the global supply chain and capture future growth opportunities in the secondary battery materials market. Last year, POSCO HOLDINGS invested a total of KRW 1.1 trillion to expand its footprint in the lithium sector, securing additional stakes in Australian mines and Argentine brine projects. This year, commercial lithium production in Argentina has begun, and the Australian lithium mine is expected to start contributing to profits in the second half of the year, following the completion of the stake acquisition.

▲ Panoramic view of POSCO International headquarters.

Carbon nanomaterial technology to be applied to suppress battery volumetric expansion during charge-discharge cycles, preventing structural deformation and significantly extending battery life

Young-jun Hong, Head of the POSCO Future M Research Institute: “The two companies have agreed to combine their world-class technology leadership to develop advanced battery materials”

POSCO Future M has signed a memorandum of understanding (MOU) with U.S.-based Sila for the joint development of advanced battery materials.

The two companies signed the MOU on the 11th at COEX in Seoul, in a ceremony attended by Young-jun Hong, Head of the POSCO Future M Research Institute, Gleb Yushin, Co-founder and Chief Technology Officer (CTO) of Sila, and executives and employees from both organizations.

Under the MOU, POSCO Future M plans to push advanced battery material technology further by combining the company’s cathode and anode material capabilities with Sila’s silicon anode material technology.

Silicon anode materials offers up to ten times the energy storage capacity of conventional graphite-based anode materials, enabling a significant increase in EV driving range while substantially reducing charging times. By leveraging carbon nanomaterial technology, the two companies expect to address one of the longstanding drawbacks of silicon anode material: the volumetric expansion that occurs during charge-discharge cycles. This approach is anticipated to prevent structural deformation and significantly extend battery life. The companies also agreed to explore the use of POSCO Future M’s carbon material technology to improve the cost competitiveness of silicon anode material, which currently commands a premium price.

Young-jun Hong, Head of the POSCO Future M Research Institute, said, “The two companies have agreed to combine their world-class technology leadership to develop advanced battery materials,” and added, “We will continue to extend the partnership beyond technology development to the supply chain level.”

Sila is a battery materials company headquartered in California that holds proprietary technology for high-performance silicon anode materials. The company works with major automakers and battery manufacturers to increase EV driving range and reduce charging times, and operates a silicon anode material production facility in Moses Lake, Washington.

Meanwhile, POSCO Future M is showcasing the research and development activities of its partner companies, including Sila and Factorial, a collaborator on all-solid-state battery technology, in the Open Innovation zone of its exhibition at InterBattery, which opened on the 11th.

▲POSCO Future M and Sila signed a memorandum of understanding at COEX in Seoul on the 11th, pledging collaboration in the field of advanced battery materials. Pictured from left: Young-jun Hong, Head of the POSCO Future M Research Institute; Gleb Yushin, Co-founder and Chief Technology Officer (CTO) of Sila.

New plant to be established in Vietnam to fulfill orders; phased capacity expansion planned for additional orders

Expanded production capacity and stronger cost competitiveness expected to drive further global order growth

On the 16th, POSCO Future M signed a large-scale, long-term supply agreement with a global automaker to supply artificial graphite anode material.

The contract, valued at approximately KRW 1.0149 trillion, covers five years from 2027 to 2032, with provisions for extension by mutual agreement. The customer’s identity has been withheld until the conclusion of the contract for reasons of business confidentiality.

This is the largest supply agreement POSCO Future M has secured since entering the anode material business in 2011. The company currently supplies anode material to domestic battery manufacturers and companies, including GM, and previously signed a natural graphite anode material supply agreement with a major Japanese battery manufacturer in July 2025, followed by another agreement with a global automaker in October 2025 valued at approximately KRW 670 billion.

Having secured consecutive major anode material orders, POSCO Future M has established a solid foundation for sustained business growth by broadening its customer base and improving profitability.

This agreement complements the natural graphite anode material contract signed in October of last year, and POSCO Future M plans to pursue further collaboration with the same customer, extending into the cathode material and lithium business segments.

To fulfill this order, POSCO Future M has embarked on a phased expansion of its anode material production capacity. On the 5th, the company approved an investment of approximately KRW 357 billion to build a new plant for artificial graphite anode material in Vietnam. With this supply agreement, the company has secured the customer commitment underpinning its Phase 1 investment and plans to proceed with a Phase 2 investment to accommodate additional order volumes.

Building on its Vietnam investment, POSCO Future M is expected to expand its mass-production base to supply cost- and quality-competitive products to customers and continue growing its global order book.

This contract win is a testament to POSCO Future M’s supply chain solutions and technological capabilities, which are fully equipped to navigate trade regulations across major markets — achieved at a time when securing a stable anode material supply chain has become a growing priority for the EV and energy storage system (ESS) industries.

As Korea’s only graphite-based anode material producer, POSCO Future M has been at the forefront of supply chain stabilization for the domestic battery industry, beginning with the localization of natural graphite anode material in 2011 and the completion of its artificial graphite anode material plant in Pohang in 2021, thereby establishing a full-scale mass production system.

The company has also been working toward full vertical integration of its supply chain, spanning raw materials, intermediate inputs, and finished product manufacturing. For artificial graphite anode material, coal-based and petroleum-based coke derived from coal tar generated in POSCO’s steelmaking process serves as the primary feedstock. For natural graphite anode material, the company plans to establish a supply chain in which graphite ore is imported from Africa and other regions through the POSCO Group, with intermediate processing to be carried out at a spherical graphite plant currently being developed at Saemangeum.

POSCO Future M produces both natural and artificial graphite anode materials at scale, tailored to customer requirements, and has built a broad product portfolio by advancing the commercialization of silicon anode material for use in all-solid-state batteries and other next-generation applications. The company has earned broad recognition for its technological strengths through continuous process innovation aimed at improving productivity.

Leveraging these supply chain solutions and technological capabilities, POSCO Future M is currently in supply discussions with numerous customers in Korea, North America, and the EU for both cathode and anode materials. The company is committed to continuously strengthening its business competitiveness and expanding its sales, aiming to go beyond its standing as Korea’s only producer of both cathode and anode materials and emerge as a top-tier global battery materials player.

▲ Production line at POSCO Future M’s artificial graphite anode material plant in Pohang

▲ Production line at POSCO Future M’s artificial graphite anode material plant in Pohang