Posco Holdings Inc. · KRX:005490
Posco — Investor Day (July 2022)
53 slides from Posco's investor day presentation, Jul 6, 2022
Slide 1: POSCO Group 2022 LiB Materials Business Value Day
Exhibit 99.1 POSCO Group 2022 LiB Materials Business Value Day July 7, 2022 POSCO (aJithPOscO
Slide 2: Disclaimer
Disclaimer This presentation contains certain forward-looking statements relating to the business, financial performance and results of the company and/or the industry in which it operates. The forward-looking statements set forth herein concern future circumstances and results and other statements
Slide 3: Program
PROGRAM Welcoming Address 1 POSCO Group’s Business Strategy 2 for LiB Materials Q&A Session 3 Small Group Meeting 4
Slide 4: Welcoming Address
Project Agenda Welcoming Address Jungson Chon, Chief Strategy Officer, POSCO Holdings POSCO Group 2022 LiB Materials Business Value Day
Slide 5: POSCO Group as Present
POSCO Group as Present Necessary to advance towards Multi-Core growth structure from steel-based business structure Green Materials & Energy 1% Green Materials & Energy 1% Green Infrastructure 13% Green Infra. 123 tril. 9.8 tril. 47% Steel KRW KRW Steel 86% 52% FY2021 Revenue FY FY2021 Operating Pro
Slide 6: Direction of POSCO Group
Direction of POSCO Group Stock price fluctuates in accordance with the steel market sentiment Stock price trend of POSCO Holdings 포스코홀딩스 주가 KOSPI 시가총액 POSCO Group 2022 LiB Materials Business Value Day
Slide 7: Direction of POSCO Group
Direction of POSCO Group 포스코홀딩스 주가 KOSPI 시가총액 Expedite Multi-Core growth through developing new growth business as LiB materials POSCO Group 2022 LiB Materials Business Value Day
Slide 8: Vision and Key Businesses
Vision and Key Businesses Set the vision and 7 key businesses that can contribute to the sustainability of future society Growth Vision The global business leader for sustainable future of mankind Goals Lead the Lead the Achieve Secure global Envision new mobility trend green energy trend carbon neu
Slide 9: Role of POSCO Holdings
Role of POSCO Holdings Set the growth strategy Pursue investments, Lead the Group’s as M&A R&D Strategy POSCO Group 2022 LiB Materials Business Value Day
Slide 10: Governance Structure
Governance Structure Keep the value of subsidiaries’ value in line with shareholders’ value by withholding the governance structure led by POSCO Holdings 100% 63% 53% 60% 100% 82% 65% POSCO Newly POSCO POSCO POSCO POSCO POSCO POSCO Pilbara Lithium established International E&C Chemical Argentina HY
Slide 11: Future of POSCO Group
Future of POSCO Group Build the balanced growth structure by 2030 Green Materials Green and Energy Materials and Energy Steel Steel Green Green Infrastructure Infrastructure Operating Profit Revenue (in aggregated basis) POSCO Group 2022 LiB Materials Business Value Day
Slide 12: POSCO Group's Strategy for LiB Materials
POSCO Group’s Strategy for LiB Materials - Byeongog Yoo, SEVP Head of Green Materials and Energy, POSCO Holdings - Daehun Chung, SEVP Head of Energy Materials Business, POSCO Chemical - Kyungsub Lee, EVP Head of LiB Materials Business, POSCO Holdings POSCO Group 2022 LiB Materials Business Value Day
Slide 13: Past, Present, and Future of POSCO Group's LiB Materials Business
POSCO Past, Present, and Future Group’s of POSCO Group’s LiB Business Materials Business Strategy for LiB Materials Byeongog Yoo, SEVP Head of Green Materials and Energy, POSCO Holdings POCO Group 2022 LiB Materials Business Value Day POSCO Group 2022 LiB Materials Business Value Day
Slide 14: History of LiB Materials Business
History of LiB Materials Business Next Core Business of POSCO Group, built on the preparation over a decade through contemplation ahead of our time • Completed the technology • Built POSCO ESM to extract lithium from brine and ore • Developed proprietary technology of lithium extraction • Acquired s
Slide 15: Progress of LiB Materials Business
Progress of LiB Materials Business Built the only integrated supply system of cathode and anode materials in Korea, through preemptive technology development and facility investment Cathode materials Anode materials 7,680 31.0 30.7 29.8 Sales volume (thousand tons) Sales volume (thousand tons) Reven
Slide 16: Progress of LiB Materials Business
Progress of LiB Materials Business The first company ever to build a full value chain for raw materials and materials for LiB Natural resources Raw Materials Intermediate materials Materials POSCO Holdings Lithium Salt Lake Cathode materials POSCO Chemical Lithium Lithium ore mine Precursor Nickel N
Slide 17: Progress of LiB Materials Business
Progress of LiB Materials Business Vertically integrated the businesses of mining resources, raw materials, and materials under the group, led by POSCO Holdings 100% 82% 49% 100% 65% 60% 40% 100% POSCO JK POSCO POSCO-Pilbara POSCO HY Teratechnos POSCO-Chemical SNNC PLSC Solid Solution Argentina Lith
Slide 18: Direction of LiB Materials Business
Direction of LiB Materials Business Build a business structure that actively leads the transition, not simply responding to change Sustainable profit - Create sustainable profit by securing demand in growth market and technology leadership LiB Materials Mutual growth with customers Business Stable g
Slide 19: Strategy for LiB Materials Business
Strategy for LiB Materials Business Secure the winning position by increasing production of key products and expanding portfolio •Expand ore production by securing 300k additional spodumene Lithium tons • Increase capacity from existing salt lake, and acquire new salt lake Ore-based Recycling 220k •
Slide 20: Mid-term Target for LiB Materials Business
Mid-term Target for LiB Materials Business Create irreplaceable value as green materials based company (Based on aggregated basis, excluding stake investment in mines) POSCO Group 2022 LiB Materials Business Value Day
Slide 21: Current Status and Strategy of Cathode and Anode Materials Business
POSCO Current Status and Group’s Strategy of Cathode and Business Anode Materials Strategy for LiB Materials Daehun Chung, SEVP Head of Energy Materials Business, POSCO Chemical POCO Group 2022 LiB Materials Business Value Day POSCO Group 2022 LiB Materials Business Value Day POSCO Group 2022 이차전지소재
Slide 22: Value Chain of Cathode Materials
Value Chain of Cathode Materials Natural resources Raw Materials Intermediate materials Materials Lithium Salt Lake Cathode materials Lithium Lithium ore mine Precursor Nickel Nickel mine Natural graphite Graphite mine Flake graphite anode material Spherical graphite Battery Artificial graphite Coal
Slide 23: Status of Cathode Materials Business
Status of Cathode Materials Business S.Korea Cathode materials in N.America Gumi Plant Zhejiang POSCO-Huayou/Huayou-POSCO Capacity : 5k tons (3k tons under construction, by 2024) Capacity : 30k tons under construction, Capacity : 9.6k tons Location of cathode materials R&D by 2024 th Center : Gumi 4
Slide 24: Strategy for Cathode Materials Business
Strategy for Cathode Materials Business Expand customer base product portfolio through stronger cooperation with major 3 domestic battery makers and gloabal automakers Diversify products Secure big global clients NCA 50k tons Increase cooperation with major 3 domestic battery makers LFP 30k tons - S
Slide 25: Mid/Long-term Target for Cathode Materials Business
Mid/Long-term Target for Cathode Materials Business Rise as a global top player in cathode materials based on the Nickel-rich NCM (thousand tons) (trillion KRW) (trillion KRW) (Aggregated basis, Capacity year-end basis) POSCO Group 2022 LiB Materials Business Value Day
Slide 26: Value Chain of Anode Materials
Value Chain of Anode Materials Keep the leading position by securing raw materials supply chain and portfolio Raw Materials Natural resources Intermediate materials Materials Lithium Salt Lake Cathode materials Lithium Lithium ore mine Precursor Nickel mine Nickel Natural graphite anode Flake graphi
Slide 27: Status of Anode Materials
Status of Anode Materials (Artificial) Pohang Plant (Natural) Sejong No.1 Plant (Natural) Sejong No.2 Plant Capacity : 45k tons (natural graphite) Capacity : 8k tons under construction (artificial graphite) Capacity : 26.3k tons(natural graphite) Location of Anode Materials R&D Center: Location : Bl
Slide 28: Strategy for Anode Materials
Strategy for Anode Materials Become a Total Provider by securing raw materials supply-chain and expanding portfolio Diversify artificial graphite and silicon anode materials Build an eco-friendly raw materials value chain Natural Silicon anode Graphite Flake Graphite Spherical Graphite materials Art
Slide 29: Mid/Long-term Target for Anode Materials Business
Mid/Long-term Target for Anode Materials Business Secure a globally leading role through building a full line-up of products (thousand tons) (trillion KRW) (trillion KRW) (Aggregated basis, Capacity year-end basis) POSCO Group 2022 LiB Materials Business Value Day
Slide 30: POSCO Group's Strategy under the Full Value Chain
POSCO POSCO Group’s Strategy Group’s under the Full Value Chain Business Strategy for LiB Materials Kyungsub Lee, EVP Head of LiB Materials Business, POSCO Holdings POCO Group 2022 LiB Materials Business Value Day POSCO Group 2022 LiB Materials Business Value Day POSCO Group 2022 이차전지소재사업 Value Day
Slide 31: Value Chain of Lithium Business
Value Chain of Lithium business Pursue lithium business, key raw material for LiB Materials, by utilizing diverse resources Natural resources Raw Materials Materials Intermediate Materials Cathode materials Lithium Salt Lake Lithium Lithium ore mine Precursor Nickel Nickel mine Natural graphite Grap
Slide 32: History of the Business
사업히스토리 History of the business Lithium Brine Lithium Ore - 2010 : Started to develop lithium extraction technology in salt lake - Feb 2017 : Built Demo plant for ore-based downstream - 2015 : Completed the test on Pilot Plant operation - 2017/2018 : Started production and sales of Lithium Carbonate/
Slide 33: Performance Result & Plan for Lithium Brine
Performance Result & Plan for Lithium Brine Acquired the salt lake and started the construction of brine-based production plant Brine-based production plant Salt lake in Argentina Company POSCO-Argentina (POSCO Holdings 100%) Company POSCO-Argentina (POSCO Holdings 100%) Location Hombre-Muerto salt
Slide 34: Performance Result for Lithium Ore
Performance Result for Lithium Ore Secured the spodumene and completed verifying the technology, started construction of ore-based lithium production plant Mine in Australia Ore-based lithium production plant POSCO Pilbara Lithium Solution Company Stake investment in Pilbara, Australia (2.76%) (P-Ho
Slide 35: Strategy for Lithium
Strategy for Lithium Rise as one of the global top 3 players based on diversified resources and customized processing line Lithium Strategy POSCO Group 2022 LiB Materials Business Value Day
Slide 36: Mid/Long-term Target for Lithium
Mid/Long-term Target for Lithium Rise as one of the global top 3 players by completing 300 thousand tons of production and sales structure in 2030 (thousand tons) (trillion KRW) (trillion KRW) (Aggregated basis, Capacity year-end basis) POSCO Group 2022 LiB Materials Business Value Day
Slide 37: Value Chain of Nickel Business
Value Chain of Nickel Business Natural resources Raw Materials Intermediate Materials Materials Lithium Salt Lake Cathode materials Lithium Lithium ore mine Precursor Nickel mine Nickel Natural graphite Flake graphite Spherical graphite Graphite mine anode materials Battery Artificial graphite Coal
Slide 38: History of the Business
History of the Business Pyro-metallurgical Processing Hydro-metallurgical Processing - 2006 : Built mining/smelting JVs with a miner in New Caledonia - 2021 : Acquired stakes in RNO, Australia's nickel mining & processing *[Mining JV] NMC, [Smelting JV] SNNC company - 2008 : Construction completion
Slide 39: Performance result of Pyro-metallurgical Processing
Performance result of Pyro-metallurgical Processing Move firsthand to produce high-purity nickel for EV battery by utilizing SNNC ferronickel SNNC(Nickel Matte production) / POSCO(High-purity nickel production) Gwangyang Dongho-bay(POSCO) New Caledonia (NMC) Dongho-bay(SNNC) Ni Matte Leaching Solven
Slide 40: Performance Result of Pyro-metallurgical Processing
Performance Result of Pyro-metallurgical Processing Expanded Nickel sulphate refining through stake investments in low-carbon nickel companies Secured stable sourcing of semi-product for Nickel(MHP) through RNO stake investment Gwangyang Australia South Korea Western Australia(RNO) Gwangyang Dongho-
Slide 41: Strategy for Nickel Business
Strategy for Nickel Business Strengthen competitiveness by procuring low carbon-based nickel, building global production base, and expanding strategic partnerships - Low carbon smelting technology - Low carbon smelting technology - In line with Ex-coal power generation POSCO Group 2022 LiB Materials
Slide 42: Mid/Long-term Target for Nickel
Mid/Long-term Target for Nickel Become an eco-friendly produced high-grade nickel maker by 2030 (thousand tons) (trillion KRW) (trillion KRW) (Aggregated basis, Capacity year-end basis) POSCO Group 2022 LiB Materials Business Value Day
Slide 43: Value Chain for Recycling Process
Value Chain for Recycling Process Natural resources Raw Materials Intermediate Materials Materials Lithium Salt Lake Cathode materials Lithium Lithium ore mine Precursor Nickel mine Nickel Natural graphite Spherical graphite Flake graphite Graphite mine anode materials Battery Artificial graphite Co
Slide 44: History of the Business
History of the Business (Battery-grade Lithium, Nickel, Cobalt) Downstream (Black Mass) Upstream - Dec 2020 : Invested in LiB recycling business - May 2020 : Procured scrap from major battery-makers in Europe - May 2021 : Established POSCO HY Clean Metal, JV with Huayou, China - Dec 2020 : Invested
Slide 45: Strategy for Recycling Business
Strategy for Recycling Business Recycling business as the eco-friendly raw materials business, preparing for the future demand Create a virtuous cycle prior to the growth Build recycling hubs, near global growth markets of EV and ESS of used car battery market (thousand tons) Volume of Used car batt
Slide 46: Strategy for Recycling Business
Strategy for Recycling Business Preemptively create a virtuous cycle of resources and green recycling ecosystem Closed loop Streamline supply chain for raw materials Stabilize production process and Recycling secure proprietary technology Business - Stabilize mass production based on pyro-metallurgy
Slide 47: Value Chain of Next Generation Battery Materials
Value Chain of Next Generation Battery Materials Natural resources Raw Materials Intermediate Materials Materials Cathode materials Lithium Salt Lake Lithium Lithium ore mine Precursor Nickel Nickel mine Natural graphite Graphite mine Flake graphite anode materials Spherical graphite Battery Artific
Slide 48: Outline of Next Generation Battery Materials
Outline of Next Generation Battery Materials Prepare ahead of time for solid-state battery, the representative post LiB Business outlook for the new type of battery Roadmap for the next generation battery * Solid-state battery CAGR 24% Solid-state LiB Hybrid Solid-state LiB battery Cathode M/S 6% M/
Slide 49: Key Activities of Next Generation Battery Materials Business
Key Activities of Next Generation Battery Materials Business Move in advance to form portfolio with next generation materials through external cooperation and in-house R&D Launched POSCO JK Solid Solution, Key Materials Business JV with domestic No.1 solid electrolyte maker (Mar 2022) Solid-state Ca
Slide 50: Key Activities of Next Generation Battery Materials Business
Key Activities of Next Generation Battery Materials Business Move in advance to form portfolio with next generation materials through external cooperation and in-house R&D Merged Teratechnos, a company Key Materials Business holding SiOx anode material technology (Jul 22) Solid-state Cathode materia
Slide 51: Key Activities of Next Generation Battery Materials Business
Key Activities of Next Generation Battery Materials Business Move in advance to form portfolio with next generation materials through external cooperation and in-house R&D Key Materials Business Acquired stakes of Prologium, solid-state battery maker (May 22) Solid-state Cathode materials Battery (M
Slide 52: Strategy for Next Generation Battery Materials
Strategy for Next Generation Battery Materials Prepare for the Post LiB stage by securing the related technologies Develop proprietary Build the business through Lock-in customers with technologies for the M&A with companies co-developed technologies next generation battery with the technology - Li-
Slide 53: POSCO Group 2022 LiB Materials Business Value Day
POSCO Group 2022 LiB Materials Business Value Day