By Dominikus
China-based new energy technology leader Jiangsu Lopal Tech Co Ltd is on track to complete the second phase of its lithium iron phosphate (LFP) cathode material project in Indonesia’s Kendal Special Economic Zone (SEZ), Central Java Province, by the end of 2025.
“The company's subsidiary, the Indonesian Lithium Source Phase I project, with a capacity of 30,000 tons, began production in early 2025. It has successfully entered mass production and has shipped to overseas client factories, currently maintaining a high capacity utilization rate. The second phase of the Indonesian Lithium Source project, with a capacity of 90,000 tons, has already begun construction. It is expected to complete construction and equipment commissioning by the end of this year,” said Wang Yin, Lopal Tech’s Investor Relations Manager during recent investor relations event.
The Phase II project, which aims to add 90,000 tons of production capacity, follows the successful inauguration of Phase I in October 2024. The first phase, which has a 30,000-ton capacity, is currently being managed by PT LBM Energi Baru Indonesia.
Read also : Lopal Tech secures key LFP supply contracts with LGES, BlueOval
The overall investment for the full 120,000-ton LFP project will remain at US$ 290 million, and the project will be carried out under Jiangsu Lopal’s subsidiaries, LBM New Energy (AP) PTE. LTD. and LBM New Energy Singapore PTE. LTD., with the majority stake held by LBM New Energy (AP) PTE. LTD.
Lopal Tech recently announced it has secured long-term procurement agreements from global battery manufacturers LG Energy Solution (LGES) and BlueOval for lithium iron phosphate (LFP) cathode materials to be produced from its overseas facility
LFP remains one of the leading materials for lithium-ion batteries, particularly in electric vehicles (EVs) and energy storage systems. Global demand for LFP is expected to continue rising as the adoption of EVs grows. By 2030, LFP is projected to account for 35% of the global lithium-ion battery market, playing a crucial role alongside Nickel Cobalt Manganese (NCM).
Editing by Reiner Simanjuntak
