Sumitomo Corporation (Headquarters: Chiyoda-ku, Tokyo; President and CEO: Shingo Ueno; hereinafter referred to as 'Sumitomo Corporation') has signed a memorandum of understanding (MOU) on the collection and recycling of used lithium-ion batteries in the Oceania region with Sumitomo Metal Mining Co., Ltd. (Headquarters: Minato-ku, Tokyo; President and CEO: Nobuhiro Matsumoto), Australian battery recycling company Envirostream Australia, and the Phoenix Recycling Group, a battery collection and recycling company in New Zealand. In this initiative, we will construct a recycling model that recovers and pre-processs used lithium-ion batteries, processes them into intermediate raw materials called 'Black Mass' (Note1), and then recycles them as new battery materials, and verifies their feasibility. In the Oceania region, battery recycling efforts are under development, and this project is a pioneering initiative in the region.
Issues and Trends Surrounding EV Battery Cycles
With the spread of EVs worldwide and the expansion of the introduction of renewable energy, the importance of collecting and recycling of used batteries is rapidly increasing. On the other hand, important minerals such as nickel, cobalt, and lithium contained in batteries are highly dependent on specific regions, and from the viewpoint of securing resources, it is urgent to build a recycling-based supply system through recycling. In particular, in Japan, it is important to establish a 'return flow model of resources to Japan' that recovers and reuses battery resources used in Japan and overseas from the viewpoint of securing a stable supply of important minerals. In addition, regulations are being made to require traceability of the origin of batteries and the traceability of the recycling rate, mainly in Europe, and there is a demand for visibility and digital support throughout the supply chain.
In addition, Japan and Australia are also making progress in strengthening the supply chain of important minerals and cooperation on energy security, and this initiative is in the same direction as these developments.
Summary of this initiative
Based on this MOU, we will promote the following initiatives in cooperation with related companies.
Establishment of a collection system for used batteries in Australia and New Zealand
Black mass manufacturing by pretreatment of batteries (discharge, dismantling, grinding)
Connection with resource reflux and refining process to Japan
Establishment of a 'horizontal recycling' model that uses used batteries as batteries again
In addition, the Energy and Metals National Corporation (JOGMEC) plans to provide support for this initiative through a technical support system for on-site needs.
Building a Next-Generation Supply Chain Using Digital and AI
Sumitomo Corporation will promote the construction of battery traceability and data infrastructure using digital and AI in a manner consistent with the concept of the Uranos Ecosystem promoted by the Japanese government. Under the Digital & AI Strategy (DAIS) promoted by the Sumitomo Corporation Group,
Data management of battery usage history and residual value (including compliance with European regulations)
Visualization of the origin of raw materials and recycling rate
Through such activities, the entire life cycle of the battery is connected with data. As a result, we will not only respond to regulations, but also create new value using data, and realize the sophistication and efficiency of the entire supply chain.
(C) 2026 Electronic News Publishing, source ENP Newswire