Camel Group Extends its Business to the Lithium Battery Recycling Market

SHANGHAI, Aug 26 (SMM) - According to some reports, on August 24, Camel Group Co., Ltd. (601311. SH) said at the semi-annual performance briefing in 2022 that the company planned to invest in a recycling project of 100,000 mt of used lithium batteries. At present, some infrastructure work has been completed, and the preliminary preparations for equipment and production line commissioning are under way. The designed capacity of phase I is 50,000 mt of used lithium batteries. And the project is expected to bring an annual value of 1-2 billion yuan when it is fully put into production.

The design capacity of Camel Group’s lithium battery recycling project phase I is 50,000 mt of used lithium batteries.

Camel Group starts with the production of lead-acid batteries. In recent years, Camel has extended its business to the new energy industry. The company integrates the new energy sector and devotes itself to the development of batteries such as power lithium batteries. On December 9, 2016, phase I of the “New Energy Vehicle Power Battery Project” implemented by Camel Group New Energy Battery Co., Ltd., a wholly-owned subsidiary of Camel Group, was officially put into production. The project is located in Xiangyang, Hubei Province, with an investment of 1 billion yuan in the first phase. The production capacity is 2GWh, and the daily output is 4,000 units of power lithium batteries, which are mainly used for many domestic new energy vehicles such as Dongfeng. 

Camel Group actively connects upstream and downstream resources and customer groups by combining its existing supporting advantages of power batteries for new energy vehicles. At present, it has set up a stable recycling channel, and at the same time, it has carried out the development of new product systems, including the pilot test of iron phosphate products, the pilot test of precursor products of 8-series and 9-series, and the promotion of a number of compliance operations and certifications. The recovery rate of nickel, cobalt, manganese and other metals is over 95%, and the comprehensive recovery rate of lithium salt products is over 80%. The Camel Group plans to invest in a recycling project of 100,000 mt of used lithium batteries. Some infrastructure work has been completed, and the preliminary preparations for equipment and production line commissioning are under way. The project will bring the company an annual value of 1-2 billion yuan when it is fully put into production. In the follow-up, the company will further expand its production capacity and business according to its operation and market conditions.

SMM believes that lithium battery recycling will boom with the upcoming retiring tide of power batteries. In recent years, upstream and downstream enterprises in the new energy industry have successively entered the lithium battery recycling market. However, at present, the amount of EOL batteries cannot really meet the capacity demand of most recycling enterprises. The key to the lithium battery recycling market lies in the distribution of channels and recycling resources, and the Camel combines its own advantages with battery recycling, so will it become a new force in the industry?