Australian Strategic Materials Ltd (ASX:ASM) has opened its first high purity critical metals plant in Ochang, South Korea, consolidating the strong partnership the company has with South Korea.
The Korean Metals Plant (KMP) is in the Ochang Foreign Investment Zone, 115 kilometres south of Seoul, and will produce critical metals and alloys to customer specifications, using ASM’s patented, energy efficient metallisation process.
The plant offers an alternative supply of the critical metals needed to meet forecast global demand and there will be an initial focus on neodymium iron boron (NdFeB) and titanium metal alloys.
Neodymium iron boron is a key component of permanent magnets used in electric vehicles and wind turbines, while titanium alloys have uses across multiple high-tech industries.
High level Korean officials attend opening
ASM’s Korean Metals Plant’s official opening was marked by a celebration and ceremony attended by key representatives from the Australian and Korean government and business community. Guests included Her Excellency Catherine Raper, Governor of Chungcheongbuk Province Si-jong Lee, and Vice Mayor of Cheongju Se-dong Oh.
(L-R) ASM chief operations officer Rowena Smith, Australian ambassador to the Republic of Korea H.E. Catherine Raper, ASM managing director David Woodall, KSM Metals president Sung- lea Cho, governor of Chungcheongbuk-do Si-jong Lee.
Speaking on the opening of the plant and its significance to the global critical metals supply chain, ASM managing director David Woodall said, “We know that global demand for critical metals is predicted to outstrip supply. Our Korean Metals Plant represents a new source for these critical metals. Products from the plant will help to de-risk and relieve bottlenecks in the global supply chain.
“This plant also signals a new direction for Australia’s resource sector and our strategic collaborations worldwide. Australia can harness its world-leading reputation and expertise in the resources sector, moving into the clean energy sector with strategic global partners such as Korea.”
ASM’s staff worked around the clock to open the plant in just nine months.
"Outstanding achievement by all"
“The team in Korea, along with our construction partners, have done a fantastic job in designing and delivering this facility. This is an outstanding achievement by all, especially given the difficulties we have faced with delays and disruptions due to covid,” Woodall said.
ASM Chair, Ian Gandel also thanked those involved in the plant’s development and progress.
“The Board extends our gratitude to our Korean partners and friends, especially the government of Korea and the Provincial Government of Ochang. All have helped us progress to this important milestone.
“This is a great moment for our partnership, as we seek to establish a real alternative supply option for the critical metals needed to meet Net Zero targets and to leave our world with cleaner energy options for our children and future generations.”
The Korean Metals Plant is ASM’s flagship metals plant, operated by the company’s wholly owned subsidiary Korean Strategic Materials and Metals (KSMM).
Based on the success of this plant, ASM will plan the development of other plants in highly strategic locations.
The plant is an integral part of ASM’s vertically integrated mine to metals business model and will be supported by raw material mined and processed at ASM’s Dubbo Project.