Lohum India Expands Operations to Tackle Critical Mineral Shortage
ECONOMY & POLICY

Lohum India Expands Operations to Tackle Critical Mineral Shortage

India’s dependence on critical mineral imports has skyrocketed to $16 billion in 2023-24, more than double the figures from 2020-21, highlighting the urgent need for domestic alternatives. In response, Lohum India, a leader in lithium-ion battery recycling and critical material production, is expanding its operations. The company has announced the establishment of a 20,000 MT Cathode Active Material (CAM) manufacturing facility in Andhra Pradesh and Telangana, aiming to strengthen India’s position in the global energy market.

Arun Mittal, CEO of Lohum India, shared the company’s growth strategy, “We are planning to set up 10,000 MT capacities each for Nickel Manganese Cobalt (NMC) and Lithium Iron Phosphate (LFP), which will result in 10 GWh of production capacity,” he said.

The decision to expand in Southern India is a strategic one, with the region already home to battery manufacturing giants such as Ola, Exide, and Amara Raja Batteries. Mittal emphasized the advantage of proximity to these key players: “Being close to these hubs allows us to forge strong relationships with our customers and advance a circular economy.”

India’s reliance on imported minerals, including $11 billion spent on copper, $0.5 billion on nickel, and $0.13 billion on lithium, has driven Lohum to seek solutions through recycling and low-carbon refining. By recovering valuable materials such as lithium, cobalt, nickel, and graphite from end-of-life batteries and production waste, the company aims to reduce battery costs and minimize energy resource dependency.

“Our goal is to recover and recirculate materials to secure energy resources and reduce battery costs,” Mittal explained. “Additionally, we aim to process platinum group metals (PGM) and rare earth elements (REE) locally, thereby cutting down on imports.”

Lohum’s expansion plans also extend beyond India. The company is eyeing the US market, with plans to establish a facility to cater to the growing electric vehicle (EV) demand. “The US EV market is projected to reach 1,000 GWh by 2030, and our cost-efficient structure developed in India positions us to compete effectively,” Mittal noted.

In Europe, Lohum is exploring partnerships that align with the region’s circular economy initiatives. The company’s commitment to sustainability is underscored by its investment of 10% of its revenue into research and development, supported by a 100-member team, including 15 PhDs.

By 2025, Lohum’s upcoming Giga plant in India is set to operationalize, further enhancing its recycling and CAM production capabilities. As Mittal concluded, “Our vision is to accelerate the energy transition while fostering a zero-waste supply chain, driving India’s sustainability and energy independence.”

India’s dependence on critical mineral imports has skyrocketed to $16 billion in 2023-24, more than double the figures from 2020-21, highlighting the urgent need for domestic alternatives. In response, Lohum India, a leader in lithium-ion battery recycling and critical material production, is expanding its operations. The company has announced the establishment of a 20,000 MT Cathode Active Material (CAM) manufacturing facility in Andhra Pradesh and Telangana, aiming to strengthen India’s position in the global energy market. Arun Mittal, CEO of Lohum India, shared the company’s growth strategy, “We are planning to set up 10,000 MT capacities each for Nickel Manganese Cobalt (NMC) and Lithium Iron Phosphate (LFP), which will result in 10 GWh of production capacity,” he said. The decision to expand in Southern India is a strategic one, with the region already home to battery manufacturing giants such as Ola, Exide, and Amara Raja Batteries. Mittal emphasized the advantage of proximity to these key players: “Being close to these hubs allows us to forge strong relationships with our customers and advance a circular economy.” India’s reliance on imported minerals, including $11 billion spent on copper, $0.5 billion on nickel, and $0.13 billion on lithium, has driven Lohum to seek solutions through recycling and low-carbon refining. By recovering valuable materials such as lithium, cobalt, nickel, and graphite from end-of-life batteries and production waste, the company aims to reduce battery costs and minimize energy resource dependency. “Our goal is to recover and recirculate materials to secure energy resources and reduce battery costs,” Mittal explained. “Additionally, we aim to process platinum group metals (PGM) and rare earth elements (REE) locally, thereby cutting down on imports.” Lohum’s expansion plans also extend beyond India. The company is eyeing the US market, with plans to establish a facility to cater to the growing electric vehicle (EV) demand. “The US EV market is projected to reach 1,000 GWh by 2030, and our cost-efficient structure developed in India positions us to compete effectively,” Mittal noted. In Europe, Lohum is exploring partnerships that align with the region’s circular economy initiatives. The company’s commitment to sustainability is underscored by its investment of 10% of its revenue into research and development, supported by a 100-member team, including 15 PhDs. By 2025, Lohum’s upcoming Giga plant in India is set to operationalize, further enhancing its recycling and CAM production capabilities. As Mittal concluded, “Our vision is to accelerate the energy transition while fostering a zero-waste supply chain, driving India’s sustainability and energy independence.”

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