EcoPro BM to invest 765 billion won in Indonesian nickel smelting

EcoPro BM is pivoting toward the nickel smelting business to secure higher profit margins and mitigate intense competition in the cathode material market. The company plans to invest 765 billion won—approximately 64% of its planned 1.2 trillion won capital increase—into the BNSI nickel smelter currently under construction in Sulawesi, Indonesia.

By 2030, EcoPro BM aims for its nickel smelting business to reach 2.5 trillion won in revenue with an operating profit margin of 21.2%. This is significantly higher than the projected 5.4% margin for its cathode material business. If these targets are met, nickel smelting profits could account for 52% of the company's total operating income.

The BNSI smelter, which has an annual capacity of 90,000 tons, is expected to begin trial operations in December and complete construction by March next year. Securing nickel through direct smelting is intended to reduce raw material costs and enhance global competitiveness against Chinese manufacturers who currently dominate the LFP market.