SK Nexilis gets $133M subsidy from Poland for copper foil cooperation

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SK Nexilis gets $133M subsidy from Poland for copper foil cooperation

Published: 26 Dec. 2024, 14:02

SARAH CHEA
[email protected]

Audio report: written by reporters, read by AI

SK Nexilis employees work at copper foil manufacturing facility in Malaysia. [SKC]

SK Nexilis, the world's largest copper foil producer, was granted a $133 million subsidy by Poland to facilitate deepening cooperation in the European country's push for clean energy.

The Korean company said Thursday it was awarded 545 million Polish zloty under the European Union's Temporary Crisis and Transition Framework (TCTF) program. It's the first Korean battery materials company to receive the TCTF subsidy and the largest single payout from the Polish government, SK Nexilis said.

"The subsidy will strengthen SK Nexilis's cooperation with the government of Poland regarding its under-construction cooper foil manufacturing plant in Stalowa Wola, in southeastern Poland, and various other clean energy projects," said an SK Nexilis spokesperson.

Under the TCTF scheme, the EU grants direct aid to companies to support investments in strategic sectors to foster the transition toward a net-zero economy, chiefly for batteries, solar panels and equipment for carbon capture usage and storage, as well as key components designed and primarily used as direct input for the production of such equipment.

Copper foil is a core component in the production of anodes, which are used in lithium-ion batteries for EVs. Copper foil functions as the negative pole, which lithium ions flow toward from the positive pole as a battery releases electricity. Around 35 to 40 kilograms (77 to 88 pounds) of copper foil is required to make an EV.

SK Nexilis has a capacity of around 100,000 tons a year, according to SNE Research. The company aims to boost that number to 250,000 tons by the end of 2025. Its major customers include LG Energy Solution, Samsung SDI, SK On, Panasonic and CATL.

BY SARAH CHEA [[email protected]]