Automotive Lithium ion Battery Recycling in the UK

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Automotive Lithium ion Battery Recycling in the UK
Automotive Lithium ion
Battery Recycling in the UK
Based on a feasibility study by Anwar Sattar,
David Greenwood, Martin Dowson and Puja Unadkat
at WMG, University of Warwick

REPORT SUMMARY: SEPTEMBER 2020
Produced by WMG, supported by the Advanced Propulsion Centre
Electrical Energy Storage Spoke and the High Value Manufacturing Catapult.
Automotive Lithium ion Battery Recycling in the UK
Key Findings                                                                               “Electric vehicles offer huge
                                                                                               potential for decarbonising
                                                                                               transport and improving air
                                                                                               quality, but as we accelerate their
                                                                                               early market we must equally be
                                                                                               thinking about what happens
    ► 	   T HE ELECTRIC                        ► 	T he
                                                          average value in                     at the end of their useful life.
             REVOLUTION                               end of life automotive                   Batteries in particular contain
             IS WELL                                  packs is £3.3/kg for BEVs                significant quantities of materials
             UNDERWAY                                 and £2.2/kg for PHEVs.                   which are costly to extract and
                                                                                               refine and which could be
             AND THE
                                                                                               hazardous to the environment if
              UK IS AMONGST                       ► 	A huge opportunity exists for
                                                      lithium ion battery recycling
                                                                                               improperly disposed of.

              THE BIGGEST                             in the UK.                               Investment is needed to create

              ELECTRIC VEHICLE                                                                 suitable recycling facilities in the
                                                                                               UK within the next few years, and
                                                  ► 	B y
                                                         2040, the UK will require
              MARKETS IN                              140GWh worth of cell production
                                                                                               beyond that, research is needed
                                                                                               to allow economic recovery of
              EUROPE                                  capability, representing 567,000         much greater proportions of the
                                                      tonnes of cell production, requiring     battery material. In doing so we will
                                                      131,000 tonnes of cathodic metals.       protect the environment, secure
    ► 	By      2035, most passenger
                                                                                               valuable raw materials, and
              cars will contain a lithium             Recycling can supply 22% of this
                                                                                               reduce the cost of transport.”
              ion chemistry traction battery.         demand (assuming a 60% recycling
                                                                                               David Greenwood
              Lithium ion batteries contain           rate and 40% reuse or remanufacture).
                                                                                               Professor of Advanced Propulsion
              rare and valuable metals                                                         Systems, WMG, University of
              such as lithium, nickel, cobalt     ► 	T he
                                                          break-even point for an              Warwick
              and copper, many of which               automotive lithium ion battery
              are not found in the UK.                recycling plant is 2,500 – 3,000
                                                      tonnes per year if the chemistry
    ► 	UK-based        OEMs pay between             contains nickel and cobalt.
                                                                                               “WMG has been at the forefront
              £3 and £8 per kg to recycle                                                      of the development of battery
              end of life lithium ion             ► 	T he
                                                          three greatest costs for recycling   technology for the future of
              batteries that are exported             plants are transport (29%), purchase     electric mobility in the UK. Internal
              abroad for material recovery.           (29%) and hourly labour (23%).           combustion engines and systems
                                                                                               will be replaced by electric
              The material must later be                                                       motors, power electronics and
              repurchased.                                                                     battery packs.

                                   Ni    Co                                                     A key part of that future is how we

                                                                      339kT
                                                                                               responsibly recycle the materials
                              Li   Cu
           METALS
                                                                                               contained in the batteries and
    ► 	                                                                                    thus create a commercially
    	ARE THE MOST RECYCLABLE                                                                  valuable circular economy. This

                                                                  BY 2040, 339,000 TONNES
      COMPONENTS WITHIN                                                                        report is one of the best that I’ve
                                                           ► 	                             seen to present the challenges
      LITHIUM ION BATTERIES
                                                           	OF BATTERIES ARE EXPECTED TO      and the opportunities in such a
                                                             REACH END OF LIFE                 clear way. It’s an excellent piece
                                                                                               of thought leadership, from the
                                                                                               leaders in their field”.

                                                                                               Dick Elsy
    Abbreviations used in this Report                                                          CEO, High Value Manufacturing
                                                                                               Catapult
    NEDC: New European Driving Cycle            NMC: Nickel Manganese Cobalt Oxide
    LMO: Lithium Manganese Oxide                NCA: Nickel Cobalt Aluminium Oxide
    LNO: Lithium Nickel Oxide

2
Automotive Lithium ion Battery Recycling in the UK
EV’S SOLD (M
                                                                                                                                                                                                                                                                                                                    200

                                                                                                                                                                                                                                                                                                                           END OF LIFE BATTERI
                                                                                                                                                                                                                                                                                                                                  EV’S SOLD (
                                                                                                                                                                                                                                                                                                                                                                                                          350
                                                                                                                                                                                                                                                                                                                                                                                                                350
                                                                                                            1                                                                                                                                   2                                                                                                 1
                                                                                                                                                                                                                                                                                                                    150

                                                                                                                                                                                                                                                                                                                                                                                                                 END OF LIFE BATTERIES (000 TONNES)
                                                                                                                                                                                                                                                             2

                                                                                                                                                                                                                                                                                                                                                                                                                                                      END OF LIFE BATTERIES (000 TONNES)
                                                                                                                                                                                                                                                                                                                                                                                                          300

                           End of Life Batteries                                                                                                                                                                                                                  Where is the Value?
                                                                                                                                                                                                                                                                                                                                                                                                                300

                                                                                                                                                                                                                                                                                                                    100

                                                                                                                                                                                                             EV’S SOLD (MILLIONS)
                                                                                                                                                                                                                                                                                                                                                                                                          250

                                                                                                                                                                                                                                    EV’S SOLD (MILLIONS)
                                                                                                           0.5                                                                                                                        1.5                                                                                                        0.5                                                            250
                                                                                                                                                                                                                                                           1.5
                           From 2035 it is proposed that every new passenger car sold in the                                                                                                                                                                      In 2018, the average values for end of life battery packs                        The value content in an end of life battery differs
                                                                                                                                                                                                                                                                                                                  50
                           UK will be non-polluting - in practice, this means that new vehicles                                                                                                                                                                   were around £1200 for BEV packs and £260 for PHEV                                significantly from the cost breakdown for a new        200
                                                                                                                                                                                                                                                                  packs. In BEVs the average value per pack for non-cell                           battery. The cost of cells in a new battery represents     200
                           sold after 2035 will have a traction battery.
                                                                                                                                                                                                                                                                  components was estimated at an average of £128                                   around 64% of the total cost whereas in an end of life
                                                                                                            0                                                                                                                                   1                                                                 0                               0
                                                                                                                                                                                                                                                       1          (source: WMG; International Dismantlers Information                              pack the cells account for almost 90% of the value in 150
                           Electric vehicle traction batteries can range in mass        If all the vehicles
                                                                                                      2010sold in the2015
                                                                                                                       UK are to contain2020
                                                                                                                                           a                           2025                                                                         2030          System2035
                                                                                                                                                                                                                                                                          (IDIS), vehicle manufacturer’s
                                                                                                                                                                                                                                                                                           2040          websites).
                                                                                                                                                                                                                                                                                                            2045                                   the pack.
                                                                                                                                                                                                                                                                                                                                                    2010             2015              2020            2025 150                                                   2030
                           from 50kg to >600kg. Each of these batteries contain         traction battery, the market penetration for such
                           a significant amount of rare and strategic metals, that      vehicles will follow a similar trajectory to that shown                                                                                                                                                                                                                                                           100YEAR
                                                                                                                                                                                                            YEAR
                           must be imported as the UK has no economically               in Figure 1.                                                                                                                                                                                                                                                                                                          100
                                                                                                                                                                                                                                      0.5                         FIG 2     Cost of New Pack                                                                           Value in EoL Packs
                           viable deposits.                                                                                                                                                                                                                0.5
                                                                                                                                                2%                                                                                                                                                                                                                                  2%                    50
                                                                                                                                    4%     4%                                                                                                                                         0.40%                                                                             4%    4%                                50
                           FIG 1    End of Life Batteries                                                                         1%                                                                                                                                                                                                                               1%
                                                                                                                                                                                                                                                0                                      7%                                                                                                                 0
                                                                                                                                                                                                                                                             0                                                                                                                                              0
                                                                                                                                                                                                                                                           2010             15%
                                                                                                                                                                                                                                                                             2015             2020             2025                               2030            2035              2040            2045
                                                                                                                 EV’s Sold                  EoL Batteries                                                                                                      2010              2015             2020             2025                               2030            2035        Cells 2040            2045
                                                                                                                                             Cells
                                                                                                                                                                                                                                                                                      Cells
                                                                                                                                             Wiring                                                                                                                                                                                                                              Wiring
                                                                                                                                                                                                                                                                                      Purchased items                   YEAR
                           2.5                                                                                                               Electronic
                                                                                                                                                                                                                                                                                      Manufacturing
                                                                                                                                                                                                                                                                                                                           YEAR                                                  Electronic
                                                                                                                                             components        400                                                                                                                                                                                                               components
                                                                                                                                             Busbars                                                                                                                                  Pack integration                                                                           Busbars
                                                                                                                                             Casing                                                                                                                    14%                2%
                                                                                                                                                                                                                                                                                      Thermal                                                                                    Casing
                                                                                                                                                                                                                                                                              4%      4%
                                                                                                                                                                                                                                                                                      management2%                                                                           0.40%
                                                                                                                                                               350
                                                                                                                                                                 89%                                                                                                                        4%           64%                                                                      0.40%            89%
                                                                                                                                                                                                                                                                                   4%
                                                                                                                                                                                                                                                                           1%
                            2                                                                                                                                                                                                                                                    1%                                                                                            7%

                                                                                                                                                                       END OF LIFE BATTERIES (000 TONNES)
                                                                                                                                                               300
                                                                                                                                                                                                                                                                                                                Source: BatPaC Model Software,                                       7%
                                                                                                                                                                                                                                                                                                                Argonne National Laboratory1.
                                                                                                                                                                                                                                                                                                                Purchased items refers to                         15%
                                                                                                                                                                                                                                                                                                                connectors, busars, etc.                                15%
    EV’S SOLD (MILLIONS)

                                                                                                                                                                                                                                                                                        Cells
                                                                                                                                                               250                                                                                                                                                                                                           Cells
                           1.5                                                                                                                                                                                                                                                          WiringCells                                                                                 Cells items
                                                                                                                                                                                                                                                                                               Wiring                                                                        Purchased
                                                                                                                                                                                                                                                                                        Electronic                                                                                  Purchased items
                                                                                                                                                                                                                                                                                               Electronic
                                                                                                                                                                                                                                                                                        components                                                                           Manufacturing
                                                                                                                                                                                                                                                                                               components                                                                           Manufacturing
                                                                                                                                                                                                                                                                                                                                                                             Pack integration
                                                                                                                                                               200                                                                                                                      Busbars                                                                                     Pack integration
                                                                                                                                                                                                                                                                  There is also a difference
                                                                                                                                                                                                                                                                                        Casing Busbars
                                                                                                                                                                                                                                                                                                 in the values between new                         cells as only14%          Thermal
                                                                                                                                                                                                                                                                                                                                                                 dedicated hydromatellurgical     recovery
                                                                                                                                                                                                                                                                                               Casing                                                                14%            Thermal
                                                                                                                                                                                                                                                                                                                                                                             management
                                                                                                                                                                                                                                                                  cells and end of5% life cells. In new cells,89%
                                                                                                                                                                                                                                                                                                               the cathode                         processes are able to recover metals      such as64%
                                                                                                                                                                                                                                                                                                                                                                                    management       lithium
                            1                                                                                                          11%                                                                                                                                                                         89%                                                     11%which only recover the64%
                                                                                                                                                               150                                                                                                material and the anode current collector make up                                 and manganese. Recyclers
                                                                                                                                                                                                                                                                  51% 14%
                                                                                                                                                                                                                                                                        of the costs, but comprise 93% of the value                                black mass and sell it onto a metal refiner will claim a
                                                                                                                                                                                                                                                                  in end of life cells. It must be noted that not every                            much lower value.
                                                                                                                             13%          Positive active material
                                                                                                                                                              100                                                                                                                                                                                                13%         Positive active material
                                                                                                                                                                                                                                                            2%    recycler will be able toactive
                                                                                                                                                                                                                                                                                 Cathode     realise the total value in the                                                                                                                                                                2%
                                                                                                                                          Graphite                                                                                                                               material                                                                                    Graphite
                           0.5
                                                                                                                                          Negative current collector                                                                                                             Negative                                                                                    Negative current collector
                                                                                                                                          Carbon + binders 50                                                                                                                    current collector                                                                           Carbon + binders
                                                                                                                                          Postive current collector                                                                                                FIG 3 Cost      of New Cells
                                                                                                                                                                                                                                                                                 Graphite                                                                        Value    in  End of
                                                                                                                                                                                                                                                                                                                                                                             Postive     Lifecollector
                                                                                                                                                                                                                                                                                                                                                                                     current    Cells
                                                                                                                             8%                                                                                                                                                                                                                                 8%
                                                                                                                                          Separator                                                                                                                              Positive current                                                                            Separator
                                                                                                                                          Electrolyte           43%                                                                                                              collector                79%                                                                Electrolyte             43%
                            0                                                                                                                                 0
                                                                                                                                                                                                                                                                                                                                                                             5%
                                 2010        2015            2020           2025                    2030               2035
                                                                                                                      3%                 2040               2045                                                                                                                 11%                                                                        3%                    5%
                                                                                                                                                                                                                                                                                        11%
                                                                                                                          3%                                                                                                                                                                                                                                     3%
                                                                                                                                                                                                                                                                                                                                                                 14%
                                                                                                                                           19%                                                                                                                                                                                                                                 19%
                                                                                     YEAR                                                                                                                                                                                                                                                                              14%
                                                                                                                                                                                                                                                                      13%          Positive active material
                                                                                                                                                                                                                                                                                      Positive active material
                                                                                                                                                                                                                                                                             13% Graphite                                                              2%                Cathode active
                                                                                                                                                                                                                                                                                                                                                            2%                 Cathode active
                                                                                                                                                                                                                                                                                                                                                                         material
                           Assuming that the average lifespan                                                                                                                                                                                                                            Graphite
                                                             2% of a battery is                                                                                                                                                                                                    Negative  current collector                                                                 material
                                                                                                                                                                                                                                                                                                                                                                         Negative
                           11 years, the volume4%        4%
                                                    of batteries coming to ‘end                                                   0.40%                                                                                                                                            CarbonNegative
                                                                                                                                                                                                                                                                                           + binderscurrent collector                                                          Negative
                                                                                                                                                                                                                                                                                                                                                                         current collector
                                                                                                                                                                                                                                                                                         Carbon                                                                                current collector
                           of life’ is projected to be  around   1.4 million packs                                                                                                                                                                                                 Postive current+ collector
                                                                                                                                                                                                                                                                                                    binders                                                              Graphite
                                               1%                                                                                                                                                                                                                     8%                 Postive current  collector                                                            Graphite
                           per year by 2040. This translates to around 339,000                                                      7%                                                                                                                                      8%     Separator                                                                             Positive current
                                                                                                                                                                                                                                                                                         Separator
                                                                                                                                                                                                                                                                                   Electrolyte            43%                                                                  Positive current79%
                                                                                                                                                                                                                                                                                                                                                                         collector
                           tonnes of batteries per year (based on the average                                                                                                                                                                                                            Electrolyte            43%                                                            collector           79%
                           pack mass of 238kg) and assuming 60% are recycled;                                           15%
                                                           Cells
                           203,000 tonnes per year that will require recycling.                                                    Cells                                                                                                                         3%
                                                       Wiring                                                                                                                                                                                                          3%
                                                                                                                                                                                                                                                                      3%
                                                                                                                                   Purchased items                                                                                                                          3%        19%
                                                       Electronic
                                                       components                                                                  Manufacturing                                                                                                                                            19%               Source: BatPaC Model Software
                                                       Busbars                                                                     Pack integration
                                                       Casing                                                        14%           Thermal
                                                                                                                                   management
                                                                        89%                                                                           64%

4
Automotive Lithium ion Battery Recycling in the UK
NMC111/LMO
                                     NMC111
                                  LMO/LNO

                                         0 the quantity
     The value in the packs is affected by       1      of2the material
                                                                 3      4   5     6            7       8      9          Lithium ion batteries are used in a multitude of        Figure 5 shows the material value per kg in
     within the pack and the chemistry of the cells. Figure 4 shows the                                                  applications and therefore, a number of different       different cells. Note that lithium iron phosphate
     value in three different vehicle packs.                  VALUE IN CELLS (£/KG)                                      chemistries have been developed to match the            cells have been omitted as there is currently an
                                                                                                                         performance with the requirement.                       uncertainty in their end of life value arising from
                                                                                                                         A recycler will want to process a number of             a lack of European recycling facilities for such
        FIG 4    Cell Value of Packs                                                                                     different chemistries to maximise value.                cell chemistries.

                                                                                                      NEDC Range:
                                                                                                      328 miles
                                                                                                      90kWh pack
                                                                                                      392kg cells
                2000
                                                                                                                                 FIG 5   Value per kg of Cells (£)
                1800

                                                                                                                                               LCO
                1600
                                                                         NEDC Range:                                                     NMC 8:1:1
                1400                                                     118 miles                                                 NMC622/LMO
                                                                         24.2kWh pack
                                                                                                                                          NMC622
    VALUE (£)

                1200                                                     192kg cells
                                            NEDC Range:                                                                                       NCA
                1000                        124 miles
                                                                                                                                   NMC111/LMO
                                            24kWh pack
                 800                        152kg cells                                                                                   NMC111
                                                                                                                                         LMO/LNO
                 600
                                                                                                                                                     0      1       2        3      4       5        6       7       8       9

                 400
                                                                                                                                                                         VALUE IN CELLS (£/KG)

                 200

                   0
                                      Nissan Leaf (LMO/LNO)         VW eGolf (NMC111/LMO)          Tesla Model S (NCA)

                                                          Li   Ni   Mn   Co   Al   Cu   Graphite

                                                                                                                                                                   “Recent times have seen the automotive sector focus on developing
     TABLE 1                                                                                                                                                       electric vehicles to drive a reduction in tailpipe greenhouse gas emissions.
     Value of the Recoverable Components                                                                                                                           However, to deliver a truly decarbonised sector a whole lifecycle approach
                                                                                                                                                                   is required to ensure that emissions from one part of the vehicle lifecycle
     Prices taken from London Metals Exchange (LME)
                                                                                                                                                                   are not shifted to another. To achieve this the UK has an opportunity to
     in Q2 2019.
                                                                                                                                                                   think holistically; so that whilst it is investigating how to grow its battery
                                                                                                                                                                   manufacturing capacity to support the electrification agenda, it can in
        Metal/material          Value/kg (£)
                                                                                                                                                                   parallel build its recycling capability.
        Li                      46
        Ni                      10.4                                                                                                                               Successful delivery of this involves us going back to the start of the process
                                                                                                                                                                   by considering design for manufacturing, assembly, disassembly, reuse,
        Mn                      1.44                                                                                                                               remanufacturing and recycling. This will enable the development of a
        Co                      25.6                                                                                                                               strategy for the UK to develop a sustainable and competitive supply chain
                                                                                                                                                                   that supports the delivery of an end-to-end process, which includes a viable
        Al                      1.44
                                                                                                                                                                   and sustainable battery recycling industry, that retains the earth’s valuable
        Cu                      4.8                                                                                                                                resources within the system.”
        Graphite                1*                                                                                                                                 Philippa Oldham
     *Price for recycled graphite. Virgin battery grade
                                                                                                                                                                   Head of National Network Programmes, Advanced Propulsion Centre
     graphite costs around £11/kg

6
Automotive Lithium ion Battery Recycling in the UK
4.0%

                          MARK
                                               3.0%

                                               2.0%

    Why the UK?
                                               1.0%                                                                                                                                                                                                                  The Faraday Institution estimates the UK                                                 The average Gigafactory has around 20GWh of
                                                                                                                                                                                                                                                                     requires around 140GWh worth of cell                                                     capacity and produces 81,000 tonnes of cells
                                               0.0%                                                                                                                                                                                                                  production capabilities by 2040.                                                         per year, a total of 567,000 tonnes of cells per
                                                                                                                                                                                                                                                                                                                                                              year (using Tesla 2170 cell format).
                                                      2017                                             2018                                                2019                                            2020
    The UK is the second largest vehicle marketYEARin Europe with annual sales exceeding
             140
    2.3 million units in 2019. It is also amongst the top electric vehicle (BEV+PHEV)                                                                                                                                                                                    FIG 8       Projected Demand for UK-produced Batteries
    markets in Europe 1, with 32,000 EVs registered in the first quarter of 2020.
                                              120
                                                                                                                                                                                                                                                                               140
      FIG 6                           EV Registrations
                                      100
                                                                                                                                                                                                                                                                               120
                                  120000
                                                                       France                      Germany                          UK
                             GWH PER ANNUM

                                       80
                                  100000                                                                                                                                                                                                                                       100
          EV REGISTRATIONS

                                                                                                                                                                                                                                                              GWH PER ANNUM
                                     80000
                                         60
                                                                                                                                                                                                                                                                                80
                                     60000
                                         40
                                                                                                                                                                                                                                                                                60
                                     40000

                                         20
                                     20000                                                                                                                                                                                                                                      40

                                               00
                                                                                                                                                                                                                                                                                20
                                                                    2017                                 2018                                    2019                               Q1 2020
                                                      2020

                                                             2021

                                                                    2022

                                                                           2023

                                                                                  2024

                                                                                         2025

                                                                                                2026

                                                                                                       2027

                                                                                                              2028

                                                                                                                     2029

                                                                                                                            2030

                                                                                                                                   2031

                                                                                                                                          2032

                                                                                                                                                 2033

                                                                                                                                                        2034

                                                                                                                                                               2035

                                                                                                                                                                      2036

                                                                                                                                                                             2037

                                                                                                                                                                                    2038

                                                                                                                                                                                           2039

                                                                                                                                                                                                  2040
                                                                                                                             YEAR

                                                                                                                            YEAR                                                                                                                                                 0
    Market penetration of EVs is accelerating, reaching 6% in Q1 of 2020. But, it will need to grow
    at an annual rate of 25% to enable all passenger cars to be ultra-low emission by 2035.

                                                                                                                                                                                                                                                                                      2020

                                                                                                                                                                                                                                                                                             2021

                                                                                                                                                                                                                                                                                                    2022

                                                                                                                                                                                                                                                                                                           2023

                                                                                                                                                                                                                                                                                                                  2024

                                                                                                                                                                                                                                                                                                                         2025

                                                                                                                                                                                                                                                                                                                                2026

                                                                                                                                                                                                                                                                                                                                       2027

                                                                                                                                                                                                                                                                                                                                              2028

                                                                                                                                                                                                                                                                                                                                                     2029

                                                                                                                                                                                                                                                                                                                                                            2030

                                                                                                                                                                                                                                                                                                                                                                   2031

                                                                                                                                                                                                                                                                                                                                                                          2032

                                                                                                                                                                                                                                                                                                                                                                                 2033

                                                                                                                                                                                                                                                                                                                                                                                        2034

                                                                                                                                                                                                                                                                                                                                                                                               2035

                                                                                                                                                                                                                                                                                                                                                                                                      2036

                                                                                                                                                                                                                                                                                                                                                                                                             2037

                                                                                                                                                                                                                                                                                                                                                                                                                    2038

                                                                                                                                                                                                                                                                                                                                                                                                                           2039

                                                                                                                                                                                                                                                                                                                                                                                                                                  2040
       FIG 7                          Market
                                      10.0%             Penetration                                                                                                                                                                                                                                                                                         YEAR
                                                                                                                                                                                                                                                                     Modified from a Faraday Institution report5
                                             9.0%                      France                      Germany                          UK

                                             8.0%                                                                                                                                                                                                                    To10.0%
                                                                                                                                                                                                                                                                        satisfy 2040 demand, the UK will need 133,000t of cathode metals per year.
                                                                                                                                                                                                                                                                     Much of this material can be supplied by recycling end of life batteries.
                                             7.0%
             MARKET PENETRATION

                                                                                                                                                                                                                                                                              9.0%                     France                      Germany                          UK
                                                                                                                                                                                                                                                                     TABLE 2
                                             6.0%                                                                                                                                                                                                                             8.0%
                                                                                                                                                                                                                                                                         Metal                       Demand (tonnes per year)                                             Supply from Recycling (tonnes per year)
                                             5.0%
                                                                                                                                                                                                                                                                           7.0%
                                                                                                                                                                                                                                                                         Lithium                     14,000                                                               3,000

                                                                                                                                                                                                                                                MARKET PENETRATION
                                             4.0%                                                                                                                                                                                                                        Nickel                      96,000                                                               20,600
                                                                                                                                                                                                                                                                          6.0%
                                                                                                                                                                                                                  * 2020 data is for Q1, 2020

                                             3.0%                                                                                                                                                                                                                        Manganese                   11,000                                                               2,400
                                                                                                                                                                                                                                                                              5.0%
                                             2.0%
                                                                                                                                                                                                                                                                         Cobalt                      12,000                                                               2,600
                                                                                                                                                                                                                                                                              4.0%
                                                                                                                                                                                                                                                                     Based on 8:1:1 chemistry assuming 60% of end of life batteries are recycled in 2040.
                                             1.0%
                                                                                                                                                                                                                                                                              3.0%
                                                                                                                                                                                                                                                                     Each Gigafactory produces approximately 6%                                                transport costs and rapidly reintroduce the
                                             0.0%
                                                                                                                                                                                                                                                                     defective
                                                                                                                                                                                                                                                                        2.0% cells and modules plus thousands of                                               material into the supply chain. Established
                                                    2017                                          2018                                                  2019                                             2020                                                        tonnes of ‘dry’ anode and cathode scrap, all of                                           recycling facilities will be a requirement for
                                                                                                                        YEAR                                                                                                                                            1.0%
                                                                                                                                                                                                                                                                     which  requires recycling. It is vital that recycling                                     attracting battery manufacturers to the UK.
                                                                                                                                                                                                                                                                     plants are located near Gigafactories to reduce
    Road transport accounts for a fifth of the UK’s                                                                         The UK exports its end of life lithium ion batteries                                                                                              0.0%
    greenhouse gas emissions2. Electric vehicles offer                                                                      to Europe and other parts of the world for recycling
                                                                                                                                                                                                                                                                                     2017                                         2018                                                  2019                                             2020
    a 72% reduction in fuel-generated CO2 emissions                                                                         and material recovery. This is not an economically                                                                                       1
                                                                                                                                                                                                                                                                        ore electric vehicles have been sold in Norway to date but Norway
                                                                                                                                                                                                                                                                       M                                                                  YEAR has an EV market penetration of 75% and its total vehicle market is around
    (based on the current UK electricity mix) and a                                                                         sustainable position for the UK. Establishing                                                                                              6% of the UK’s vehicle market.
    50% reduction in embedded carbon3. Battery                                                                              material recovery processes in the UK would                                                                                              2
                                                                                                                                                                                                                                                                       Office for national statistics; https://www.ons.gov.uk/economy/environmentalaccounts/articles/roadtransportandairemissions/2019-09-16#toc
    recycling will help this further, as 1kg of recycled                                                                    provide a supply of ethically sourced material.
                                                                                                                                                                                                                                                                     3
                                                                                                                                                                                                                                                                        Nikolas Hill. Determining the environmental impacts of conventional and alternatively fuelled vehicles through Life Cycle Assessment. Ricardo
        120000                                                                                                                                                                                                                                                           Energy and Environment; https://www.upei.org/images/Vehicle_LCA_Project_FinalMeeting_All_FinalDistributed.pdf
    material saves the equivalent    of 1kg CO2 versus
                                France            Germany                                                                      UK                                                                                                                                    4
                                                                                                                                                                                                                                                                         Rebecca E. Ciez & J. F. Whitacre; Examining Different recycling Processes for Lithium ion Batteries. Nature Sustainability, 2, 148156 (2019).
    manufacturing from virgin material4.                                                                                                                                                                                                                             5
                                                                                                                                                                                                                                                                         The Faraday Institution. UK electric vehicle and battery production potential to 2040. Faraday Report – March 2020. Annual Gigafactory Study
                   100000
    TRATIONS

                          80000                                                                                                                                                                                                                       120000
8                                                                                                                                                                                                                                                                                                   France                      Germany                        UK
Automotive Lithium ion Battery Recycling in the UK
11

         Battery Recycling Process                                                                                                     REDUX – Commercial process
                                                                                                                                  10
                                                                                                                                       ► 10,000t per year. Cells deactivated in a thermal
                                                                                                                                          treatment step prior to shredding and material
                                                                                                                                          separation
         This map details the major lithium ion battery recycling                                                                      ► Process recovers anode and cathode as black
         centres in Europe and their capacities.                                                                                          mass which can be treated pyrometallurgically
         Please note that this is not an exhaustive list.                                                                                 and hydrometallurgically to recycle the metals

     1   Duesenfeld – Pilot scale                                  2    Accurec Recycling GmbH                                    11   Akkuser – Commercial process
         (commercial operation)                                         – Pilot scale (commercial operation)                           ► 4,000t per year (estimate). Cells shredded
         ► 3,000t batteries per year                                    ► 2,500t batteries per year                                       in a two-stage process assumed to occur in
         ► Recycling efficiency of 85% - includes an                   ► Cells placed in pyrolysis chamber and heated to                an inert atmosphere. Material separation is
                                                                                                                                          followed by acid leaching                              9
            electrolyte recovery step                                      250oC evaporating electrolyte before shredding
         ► Cells shred in an inert atmosphere, created                 ► Process treats recovered black mass                         ► Process is able to recover anode and
            using N2. Patent also has the provision of                     pyrometallurgically to produce an alloy and a slag             cathode as black mass which is treated
           shredding in a vacuum                                           which contains the lithium. The alloy can be treated           hydrometallurgically to recover the metals
                                                                           hydrometallurgically to recycle the metals                     as metal salts
         ► Process has hydrometallurgical capabilities and
            recovers the cathode metals as metal salts to go
            back into the supply chain
                                                                   4    Euro Dieuze Industrie
                                                                        (EDI) – Pilot scale process
     3   Umicore – Commercial process                                   (commercial operation)
         ► 7,000t batteries per year                                    ► 1,800t batteries per year
         ► High temperature (pyrometallurgical) process.               ► Cells shredded in a closed system -
            Batteries mixed with coke and slag forming                     vapours and gases coming off cells
            agents and dropped into a giant furnace where                  are captured and treated
            preheated air is fed through sides and the volatile
                                                                        ► Process has hydrometallurgical                                                                               10
            material within the batteries is used to produce
                                                                           capabilities and recovers the
            some of the energy required for the process.
                                                                           cathode metals as metal salts to                                                                                  1
         ► Process has hydrometallurgical capabilities and                go back into the supply chain
            also produces new cathode powders from the                                                                                                                      2
            recycled metal salts
                                                                                                                                                             3
                                                                   6    Batrec Industries AG – Pilot scale process
     5   Valdi (Eramet Group) –                                         (in commercial operation)
         Commercial process                                             ► 200t batteries per year
         ► 20,000t batteries per year but, Li ion only small           ► Shreds lithium ion batteries in a CO2 atmosphere
            portion of this                                               to neutralise the lithium and avoid ignition of                                           4
                                                                          flammable electrolyte
         ► Pyrometallurgical
                                                                        ►P
                                                                          rocess recovers anode and cathode material
         ► Process produces a metal alloy that can be
                                                                         as black mass which is sold to refiners
            recovered hydrometallurgically

     7   SNAM – Pilot scale process                                8    Recupyl – Pilot scale process                                              5
                                                                                                                                                                             6
                                                                        ► 110t batteries per year
         ► 300t batteries per year, looking to expand to
            10,000t per year                                            ►S
                                                                          hreds cells in a controlled atmosphere
                                                                         using a mixed CO2 and Ar atmosphere
         ► Pyrolysis followed by shredding process
                                                                        ►P
                                                                          rocess recovers anode and cathode material as
         ► Black mass is sold to refiners. Installation of
                                                                         black mass which is sold to refiners                                      7
            hydrometallurgical plant is planned                                                                                                                    8

     9   uRecycle – Pilot scale process
         ► 100t batteries per year
         ► Shreds lithium ion batteries in a CO2 atmosphere to neutralise
           the lithium and avoid ignition of flammable electrolyte
         ►P
           rocess recovers anode and cathode material as black mass
          which is sold to refiners

10
Automotive Lithium ion Battery Recycling in the UK
Commercial Processes for Battery Recycling

                   Portable                    End of life                                        Discharge                                   Dismantle
     FIG 9
                   batteries                     pack

                                                                                                                                                                                              Coke
             Thermal            Pyrolysis                    Shred in                           Aqueous            Wet                                         Shred in
                                                                                                                                                                                              + slag
             oxidiser                                          CO2                              Solution        shredding                                      nitrogen
                                                                                                                                                                                             formers

                                 Shred

                                                             Li +
                Gas                                                                                                  Li
                                                         electrolyte
             scrubbing                                                                                         neutralisation
                                                        neutralisation
                                                                                                                                                              Electrolyte
                                                                                                                                                               recovery                      Smelting               Gas
                                                                                                                                                                                              furnace            scrubbing

                                                             Electrolyte                                        Electrolyte
                                                             treatment                                          treatment

                                                                                                                                                                                      Slag        Metal alloy

                                Material                      Material                                           Material                                      Material
                               Separation                    separation                                         separation                                    separation

     Metals        Graphite      Cathode    Metals     Graphite            Plastics   Cathode        Metals   Graphite        Plastics   Cathode          Metals     Graphite   Plastics       Cathode          Electrolyte
                                 powder                                               powder                                             powder                                                powder            recovery

                         Al, Cu, Fe Smelters                                                                             Hydrometallurgical Recovery

12
Automotive Lithium ion Battery Recycling in the UK
Pros and Cons of Different
     Recycling Methods
     (includes processes that are still in development)

     TABLE 3   Pre-process Methods                                                                                                                  Process Methods (continued)
      Method              Advantages                                           Disadvantages                                                         Method                Advantages                                        Disadvantages

      Discharge             Takes electrical energy out of cells making        Only applicable for large modules and packs                        Shredding in an         Easier to scale up than dry inert shredding     Hydrogen is generated if aluminium is present
                              them safe                                          Difficult to discharge portable cells without using salt water    alkaline solution         methods                                         Addition of alkali reagent to water increases costs
                            Process is mature and scalable                         solution, which generates toxic and flammable gases                                       Allows harmful chemicals to be neutralised      Alkali ions can be corrosive to process equipment
                            Electricity can be fed back into the grid          Rebound can occur if discharged too rapidly                                                Some alkali solutions treat electrolyte         No electrolyte recovery possible
                            Negates the need for post lithium                  Rapid discharge of high capacity cells can lead to                                          making it easier to process downstream
                              neutralisation                                       overheating and thermal runaway
                                                                                                                                                     Shredding in            Cheaper to operate than using inert gas          Only suitable for batch processing, making it difficult
                                                                                 Non-standardised parts make it difficult to connect to
                                                                                                                                                     a vacuum                Can be coupled with a vacuum extraction           to scale up
                                                                                   load bank
                                                                                                                                                                               unit to evaporate and condense electrolyte      Other parts of shredder may need to be placed under
      Thermal treatment     Allows charged cells/modules to be                 Inert atmosphere required - increasing process operating                                    carbonates                                        vacuum to avoid fires post shredding
                              processed                                            costs and reducing throughput                                                             Relatively mature technology used in other      Safety not as high as shredding in an inert atmosphere
                            Energy expended in a safe environment              Large quantities of toxic gases produced increasing                                         recycling operations                            Not suitable for shredding charged cells
                            Burns off electrolyte taking away biggest            processing costs
                              hazard                                             Lower recovery efficiency                                          Shredding in a          Relatively mature technology used in            More expensive than vacuum shredding
                                                                                                                                                     nitrogen atmosphere       recycling of other flammable material           May need inert conveyance line post shredding to avoid
                            Process is mature and scalable                      Large input of energy required for process
                                                                                                                                                                             Continuous shredding possible with right          fires/explosions
                            Negates the need for post process                  Produces CO2 through combustion process
                                                                                                                                                                               feeding mechanism                               Not suitable for shredding charged cells and modules
                              neutralisation                                     Temperature gradients can exist in larger modules, which
                            Low temperature vacuum thermal treatment             may lead to incomplete reactions
                              allows for recovery of some electrolyte                                                                                Shredding in a CO2      Allows for shredding of charged cells            Lithium beneath the surface of the particle is not reacted
                                                                                 Aluminium components within cell can melt at high
                              carbonates                                                                                                             atmosphere              Mature technology in operation for over         Reaction takes a long time to complete
                                                                                   temperatures causing agglomeration within the reactor
                           M
                             akes easier to process hydrometallurgically                                                                                                      15 years                                        Unreacted lithium needs to be neutralised post shredding
                                                                                                                                                                                                                               Expensive to operate
      Freezing              Allows charged cells and modules to be             Only suitable for batch processing, making it difficult
                              processed as immersion in a cryogenic                to scale up
                              liquid, typically liquid nitrogen, freezes the     Expensive reagents used
                              electrolyte, reducing cell reactivity to zero                                                                         TABLE 5   Electrolyte Recovery Methods
                                                                                 Only gives a short time for processing before cells become
                                                                                   live again
                                                                                                                                                     Method                Advantages                                        Disadvantages
                                                                                 Li and electrolyte must be neutralised post processing
                                                                                                                                                     Liquid extraction       Allows all electrolyte components to be         Volatile low boiling point solvents required
                                                                                                                                                                               extracted                                       Energy intensive process
     TABLE 4   Process Methods                                                                                                                                               Very mature technology                          Difficult to find right solvent for each chemical
      Method              Advantages                                           Disadvantages                                                                                                                                   More than one solvent may be required to recover all
                                                                                                                                                                                                                                 electrolyte components
      Pyrometallurgical     Allows for selective targeting of metals           Difficult to feed continuously as high temperatures                                                                                        Solvent loss likely to occur
                            Extracts most valuable components                   vaporise electrolyte, forming explosive mixtures
                                                                                                                                                                                                                               Solvent likely to dissolve plastics creating problems
                            Volatile components within the cells are           Metals such as aluminium, manganese and lithium not                                                                                           in extraction
                              combusted, reducing external energy                  recovered (although could be recovered from slag)
                              demand                                             Various additives required to make process work                  Supercritical CO2       Recovery of electrolyte relatively simple       Additives may be needed to recover all electrolyte
                                                                                 Extensive scrubbing required to treat off-gases                   extraction                compared to liquid solvents                       components
                            Makes easier to process hydrometalurgically
                                                                                 Components such as electrolyte, graphite and plastics                                    Can be used to neutralise the lithium if        Cannot recover lithium hexafluorophosphate
                                                                                  combusted so not recovered                                                                   charged cells are shredded                      Very difficult to scale up the process as high pressures
                                                                                                                                                                                                                                 are involved
      Shredding in          Easier to scale-up than dry inert shredding        If shredding is done submerged, complex feeding and
      saturated lithium       methods                                              equipment operation required                                      Vacuum extraction       Recovery of electrolyte is simple                Cannot recover lithium hexafluorophosphate
      chloride solution     Allows charged cells to be processed                Large quantities of expensive lithium chloride is required                               Relatively mature technology                     May not be suitable to recover all carbonates
                                                                                 Contamination of products with lithium chloride                                                                                            Only suitable for batch processing, making it difficult
                                                                                 Lithium to be neutralised post-process which can cause                                                                                       to scale up
                                                                                  exothermic reaction                                                                                                                          Final product could require further processing
                                                                                 Chloride ions can cause corrosion to process equipment
                                                                                 Acid not dealt with
                                                                                 Electrolyte recovery and removal very challenging

14
Automotive Lithium ion Battery Recycling in the UK
Recyclability of Materials                                                                                                                    Component

                                                                                                                                                   Cathode
                                                                                                                                                                 Material

                                                                                                                                                                 Lithium
                                                                                                                                                                                Current Recyclability

                                                                                                                                                                                There are two options for cathode recycling:
                                                                                                                                                                                                                                          Future Recyclability

                                                                                                                                                                                                                                          More in-house hydrometallurgical processes will
                                                                                                                                                   active                         Commercial refiners use elevated temperatures         be developed or large-scale centralised refining
                                                                                                                                                   material                                                                               specifically designed for cathode material will
     Lithium ion batteries are made up of                          At the end of a battery’s life, some of these materials                                                          alongside additives to selectively discard
                                                                                                                                                                                                                                          allow for the recovery of all cathode metals.
                                                                   retain their value but others do not, and some even                                                              certain metals (such as Li, Al, Mn) to leave the
     a variety of materials that can cost a                                                                                                                                         more valuable and abundant metals such as
                                                                   have a negative value. The table below shows the
     significant amount when new.                                  recyclability of the materials, given current recycling
                                                                                                                                                                                    Ni, Co and Cu which are then recycled using           Next-generation cathode recycling processes
                                                                                                                                                                                    hydrometallurgical processes.                         will recycle the entire cathode rather than break
                                                                   processes and possibility of future recycling.                                                                                                                         it down to its base metals. Standardisation of
                                                                                                                                                                                  In-house processes are more tailored so can
                                                                                                                                                                                                                                          cell chemistry is required for this to become
                                                                                                                                                                                    recover more of the metals including lithium.
                                                                                                                                                                                                                                          commonplace.
                                                                                                                                                                                    The main issue for lithium recycling is the low
                                                                                                                                                                                    concentration of lithium per cell, at around 2%
                                                                                                                                                                                    by mass.

                                                                                                                                                                 Manganese      Similar to lithium, manganese is not recycled by          As above
                                                                                                                                                                                commercial recyclers owing mainly to its low price.
                                                                                                                                                                                In-house hydrometallurgical processes are able to
                                                                                                                                                                                recycle the manganese.

                                                                                                                                                                 Nickel         Nickel is a high-value metal that can be completely       As above
                                                                                                                                                                                recycled back into cells.

                                                                                                                                                                 Cobalt         Cobalt is a high-value metal that can be completely       As above
                                                                                                                                                                                recycled. Some LIB recyclers have the capability to
                                                                                                                                                                                recycle the cobalt back into cathode material.

                                                                                                                                                                 Oxygen         Oxygen accounts for around 33% of the cathode             Next-generation cathode recycling processes will
                                                                                                                                                                                or ~11% of cell mass. The Battery Directive has a         recycle the entire cathode (including the oxygen).
                                                                                                                                                                                provision for the recycling of oxygen if it can be        Standardisation of cell chemistry is required for
                                                                                                                                                                                proven that it is involved in the chemical conversion     this to become commonplace.
                                                                                                                                                                                of the metals. This gives pyrometallurgical recyclers
                                                                                                                                                                                an advantage.

                                                                                                                                                                                Direct hydrometallurgical recycling of the cathode
                                                                                                                                                                                leads to the production of oxygen gas, which,
                                                                                                                                                                                unless utilised, cannot be accounted for.

                                                                                                                                                   Other         Lithium iron   Alternative processes such as direct recycling or         Direct recycling methods will be further
                                                                                                                                                   cathodes      phosphate      chemical processes that strip the lithium from the        developed, which will allow for the recycling of the
                                                                                                                                                                 (LFP)          LFP have been demonstrated at small scale.                LFP powder to go back into new cells.
     TABLE 6

                                                                                                                                                   Separators    Polymers       Limited recyclability. Commercial plastic recyclers       Plastic separators will continue to be challenging
      Component      Material      Current Recyclability                                  Future Recyclability                                                                  prefer chunky plastics as the high temperature            to recycle, particularly back into new cells. They
                                                                                                                                                                                melting and extrusion process is not suitable for         could potentially be down-cycled and used in
      Casing         Steel         Steel is highly recyclable. Steel is most likely to    Steel will continue to be recycled                                                    plastic films. Many recyclers choose to combust           other applications in the future.
                                   be down-cycled into an alloy.                                                                                                                the plastics.

                     Aluminium     Aluminium is highly recyclable, but recyclers          The aluminium recycling industry is considering          Electrolyte   Organic        Recyclers are able to recover at least some of the        Recyclers will be more inclined to recover
                                   prefer ‘chunky’ pieces to thin foil, such as from      recycling high grades of aluminium rather than-                        carbonates     organic carbonates fraction of the electrolyte. This      and recycle the electrolyte if the cells used a
                                   pouch cell casings.                                    down cycling, but this is likely to be for high-                                      may be sold into the chemicals industry if the purity     standardised electrolyte composition. It is difficult
                                                                                          volume scrap and not thin foils.                                                      is high enough. Some recyclers claim to able to           to design a process that can recover the variety
                                   Aluminium is down-cycled into an alloy                                                                                                       recover the electrolyte from the aqueous solution in      of different carbonates that go into the various
                                                                                                                                                                                wet shredding processes.                                  lithium ion batteries.
                                                                                                                                                                                Most recyclers either combust the electrolyte or
      Positive       Aluminium     As above                                               As above                                                                              treat it with chemicals to destroy it.
      current
      collector

                                                                                                                                                                 Litihum        Limited recyclability. The LiPF6 composition within       Limited recyclability in the future, as the conditions
      Negative       Copper        Highly recyclable, but may need to be baled or         Copper will continue to be recycled
                                                                                                                                                                 hexafluorop-   the cell changes as the cell ages. Difficulty recycling   required for its recycling are likely to be too
      current                      briquetted beforehand. The high value of copper
                                                                                                                                                                 hosphate       LiPF6 is due to a number of factors: It decomposes        stringent for most recyclers.
      collector                    allows for complete recycling.
                                                                                                                                                                 (LiPF6)        at temperatures above 80oC, it hydrolyses in the
                                                                                                                                                                                presence of moisture and, finally, it requires a
      Anode active   Graphite or   Limited recyclability. Graphite’s structure and        Graphite will continue to be difficult to recycle into                                solvent extraction process to enable its recovery.
      material       graphite-     morphology changes with cell use, making it            cell-grade graphite, but it may be converted into                                     Currently either destroyed thermally or hydrolysed
                     silicon       difficult to recycle back into cells.                  other materials such as graphene.                                                     using water and neutralised.

16
Automotive Lithium ion Battery Recycling in the UK
Economic Analysis
        Currently the UK lacks industrial capacity for lithium ion battery recycling,                                               Pack discharging and dismantling is one of the most challenging parts of automotive battery recycling.
        therefore batteries are shipped to mainland Europe for material recovery.                                                     Lack of standardised connectors      Some packs use epoxy resins          Module removal can be difficult
        This can be a very expensive process, dependent on state of health of the                                                     makes it difficult to connect pack     to seal the lid, making it hard to      if the screws and connectors are
        pack, chemistry of the pack and size of the pack.                                                                             to the load bank                       access the cells and modules            located in obscure locations

        The cells and modules are sent to mainland Europe for recycling. The process is as follows;

           	End of life electric vehicles are         	The packaged modules are           	Up to 75% of the total cost of
              returned to the dealership where          shipped to Europe to a recycling      recycling can be attributed to
              the battery is removed from               facility which levies a processing    the transportation costs if the
              the vehicle using high voltage            charge to recycle the batteries       pack is damaged or its state of
              technicians                               and gives a rebate based on           health is unknown
                                                        the LME price of nickel, cobalt
           	The vehicle is sold to a metal                                                  	Only cells and modules which are
                                                        and copper
              recycler whilst the battery is given                                            in a good state of health can be
              to a battery disposal company             	Costs can range from £3/kg         transported to Europe, damaged
                                                        to £8/kg depending on the             cells and modules cannot be
           	The battery is discharged,
                                                        state of health and chemistry of      taken to Europe
              dismantled into modules which
                                                        the battery
              are packaged in containers
              alongside fire-proof material

                                                                                                                                                                                                                             Estimated
                                                                                                                                                                                                                               cost:
                                                                                                                                                                  Estimated cost:                                             £0.05-
     FIG 10
                         End of Life                                  Transport of
                                                                                                             Storage container:                                     Electricity:                                             £0.10/kg
                       Electric Vehicle                               good packs:
                                                                     £0.25-£0.5/kg                             ~£60k for 20ft                                       £0.11/kWh
                                                                       Bad packs:                            container with fire                                  Gas: £0.03/kWh
                                                                         £6/kg                               suppression, blast                                  Labour: £8-£12/h
                                                                                                            protection and gas                                    Wear and tear:
                         Intermediate
                                                                                                            detection. Running                                        Variable
                           Company
                                                                                                            costs: electrical and                                                                                       Material Transport
                                                                        Transport                             labour (material
                                                                        Company                                 conveyance)
                        Authorised
                                                     Battery
                     Treatment Facility

                                        Vehicle
                                                                                                                                       Discharge,                          Module Processing and
                                                                    Battery Recycler                           Battery Storage                                                                                             Metal Refiner
                                                                                                                                       Dismantle                            Material Separation
                       Metal Recycler

                                                                                                                                                                              Waste Treatment
                                                                                                                                         >£20/h                                 or Disposal
                                                                         Battery
                                                                        purchased                                                         for HV                                                                           Estimated
                       Last owner                                       at 20% of                                                      technician                                                                           Rebate:
                        of vehicle                                       material                                                        and co-                                                                       Ni = 30-40% LME
                                                                                                                                         worker                                  If disposed                           Co = 20-30% LME
                      paid around                                         value                                                                                                   of: £100/t                            Cu = 70% LME
                         £100/t
                                                                                                                                                                                    for non-
                                                                                                                                                                                  hazardous
                                                                                                                                                                                     waste

18
PROCESSING
                                                                                                                                                                                                  £3,000

                                                                                                                                                           PROCESSING COST PER TONNE (£)
                                                                                                                                                  £1,000
                                                                                                                                                                                                  £2,500

         Battery Recycling Plant Economics                                                                                                          £500                                          £2,000
                                                                                                                                                                                                     The cost of processing decreases as throughput increases since plant capacity is utilised
                                                                                                                                                                                                     more efficiently. The break-even point for such a plant is between 2,500 and 3,000
                                                                                                                                                                                                  £1,500
                                                                                                                                                      £0                                             tonnes per year if the chemistry contains Co and Ni.
        Process economics for a 1.5t/h automotive lithium ion battery recycling
        plant were modelled on Microsoft Excel.                                                                                                            0                                      £1,000
                                                                                                                                                                                                                                                      2000                       4000                     6000                      8000                     10000
        Assumptions were as follows; average packs weigh 238kg with gross values varying from £550                                                                                                       £500                                                         THROUGHPUT (T/Y)
        (LMO) to £733 (average) per pack. Process is limited to separation of black mass, which is sold to                                                                                                                   FIG 12             Cost Breakdown for Recycling Plant
        refiners, allowing the recycler to attain 40% of the value for packs containing Ni and Co and only
        20% for LMO packs. Transport costs were assumed to be £50 per pack. Other costs are shown in                                                                                                                         £0
        Figure 10. Cost of capital and depreciation were not included in the model.
                                                                                                                                                                                                                                                                2%
                                                                                                                                                                                                                                £4,000,000
                                                                                                                                                                                                                                    0                           2000                  4000              6000              8000               10000
                                                                                                                                                                                                                                                                                     THROUGHPUT The
                                                                                                                                                                                                                                                                                                (T/Y)biggest costs for an automotive battery
                                                                                                                                                                                                                               £3,000,000                  6%                                   recycling plant are hourly labour, purchase costs
            FIG 11                                     Break-even Point                                                                                                                                                                           5%                             23%            and transport costs. Currently, pack transport
                                                                                                                                                                                                                                                                       2%
                                                                                                                                                                                                                              £2,000,000                                                        costs are covered by the vehicle manufacturers,
                                                                                                                                                                                                                                                                                                but they must come down significantly to make
                                                                                                                                                                                                                                                                     6%

                                                                                                                                                                                           PROFIT/LOSS (£)
                                          £4,000,000                                                                                                                                                                                                                                            recycling economically viable.
                                                                                                                                                                                                                                £1,000,000                      5%                 23%
                                         £3,000,000                                                                                                                                                                                                                                                          Purchase
                                                                                                                                                                                                                                                 £0
                                                                                                                                                                                                                                                                                        6%                   Transport costs
                                                                                                                                                                                                                                        29%                               2000                4000              6000               8000              10000
                                        £2,000,000                                                                                                                                                                                                                                                           Labour hourly
                                                                                                                                                                                                                                                                                                         Purchase
                                                                                                                                                                                                                           -£1,000,000                                                       6%
                                                                                                                                                                                                                                                          29%
                                                                                                                                                                                                                                                                                                             Labour
                                                                                                                                                                                                                                                                                                         Transport costssalary
                                                                                                                                                                                                                                                                                                         Labour hourly
     PROFIT/LOSS (£)

                                          £1,000,000                                                                                                                                                                                                                                                         Overheads
                                                                                                                                                                                                                                                                                                         Labour salary
                                                                                                                                                                                                                           -£2,000,000
                                                                                                                                                                                                                                                                                                             Energy costs
                                                                                                                                                                                                                                                                                                         Overheads
                                                           £0                                                                                                                                                                                                                  29%29%                        Waste
                                                                                                                                                                                                                                                                                                         Energy costs removal
                                                                                                                                                                                                                           -£3,000,000                                                                   Waste removal
                                                                0         2000     4000              6000           8000                    10000
                                     -£1,000,000
                                                                                                                                                                                                                           -£4,000,000

                                     -£2,000,000                                                                                                                                                                                                                                                  THROUGHPUT (T/Y)

                                                                                                                                                                                                                                                                 NMC/LMO                 NCA              LMO              AVERAGE PACK (’15-’18)
                                     -£3,000,000
                                                                                                                                                                                                                            FIG 13              Processing Cost Vs Throughput
                                     -£4,000,000

                                                                                       THROUGHPUT (T/Y)                                                                                                                                      £3,500
                                                                    NMC/LMO      NCA           LMO          AVERAGE PACK (’15-’18)
                                                                                                                                                                                                                                             £3,000

                                                                                                                                                                                                             PROCESSING COST PER TONNE (£)
          Note that average pack chemistry includes many NMC 1:1:1 packs which have a higher value

                                                                                                                                                                                                                                             £2,500

                                                       £3,500
                                                                                                                                                                                                                                             £2,000

                                                       £3,000
                       PROCESSING COST PER TONNE (£)

                                                                                                                                                                                                                                             £1,500

                                                       £2,500
                                                                                                                                                                                                                                             £1,000

                                                       £2,000
                                                                                                                                                                                                                                              £500

                                                       £1,500
                                                                                                                                                                                                                                                £0

                                                       £1,000                                                                                                                                                                                         0                   2000                4000              6000               8000              10000
                                                                                                                                                                                                                                                                                                  THROUGHPUT (T/Y)
                                                        £500
                                                                                                                                                                                                                      Based on average packs sold in the UK between 2015 and 2018
                                                                                                                                                                                                                                                                                 2%
                                                          £0
                                                                                                                                                                                                                                                                               6%
20                                                              0         2000     4000              6000           8000                  10000
                                                                                                                                                                                                                                                                          5%                  23%
                                                                                       THROUGHPUT (T/Y)
Recommendations                                                                                                                                                                   RECYCLING
                                                                                                                                                                                     EFFICIENCIES
     The UK needs to establish commercial scale
     recycling for automotive lithium ion batteries.
                                                                                                                                                                                    COULD REACH
                                                                                                                                                                                      70% BY 2025
                                                                                                                                                                                  AND 80% BY 2035
     This will ensure sustainable disposal and capture valuable raw
     materials to sustain UK battery manufacturing. Today’s volumes
     of end of life batteries are insufficient to sustain a commercially
     viable plant, but plants are needed nonetheless to ensure
     sustainable disposal.

     Volumes will become sustainable in around 5-8 years when
     tens of thousands of tonnes of material will require processing.
     Processing of trade waste from UK battery factories will provide
     early revenue streams in the meantime.

     The UK does not have legacy processes and could challenge
     for highest recycling efficiencies – enabling revision of Battery
     Directive towards >80% recovery by mass (from 50% today).

     The following points are recommended to ensure a viable
     and sustainable battery recycling industry in the UK:

      1    Support the installation of recycling                         2    Link recycling plants to planned            3    Work with battery recyclers and transport                     4     Streamline permitting
           facilities until volumes reach sufficient                          Gigafactories in UK.                             companies to develop and update the                                 process for battery
           levels to make battery recycling                                                                                    battery transport regulations.                                      recycling.
           sustainable.

      5    Vehicle manufacturer must provide battery                     6    Greater clarity around the transfer         7    Develop and standardise discharging                8      Update Battery Directive to reflect
           passporting data to vehicle/battery                                of liability at end of life.                     and dismantling training for end of life                  the increased material recycling
           recyclers allowing for accurate triaging.                                                                           battery technicians.                                      capabilities of new processes.

      9    Begin to standardise parts of the battery                     10   Create a distinction between automotive     11   Only processes with high recycling          12   R&D into the following areas;
           packs such as high voltage connection                              traction batteries and other batteries           rates for critical metals should be                Design of ‘easy to recycle’ battery packs
           ports to allow for easier discharging                              to allow for ambitious targets to be set,        permitted – for example 98.5% for
                                                                                                                                                                                  	Recycling of cathode metals using,
           and dismantling.                                                   such as 70% by 2025 rising to 80% by             cobalt to stop inefficient processes
                                                                                                                                                                                  green solvents, that reduce the CO2
                                                                              2035 for battery packs.                          from being installed.
                                                                                                                                                                                  footprint of the process
                                                                                                                                                                                  Recycling of non-cathode components
                                                                                                                                                                                  Direct recycling of production scrap
                                                                                                                                                                                  	Research into the life cycle analysis of
                                                                                                                                                                                  lithium ion battery recycling processes
                                                                                                                                                                                  in the UK.

22
WMG
International Manufacturing Centre
University of Warwick
Coventry
CV4 7AL

    +44 (0)24 765 24871

     wmg@warwick.ac.uk

    warwick.ac.uk/wmg
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