Recycling Batteries

Battery recycling is crucial for several reasons: it prevents hazardous materials from contaminating the environment; it conserves finite and valuable resources like lithium and cobalt reducing the need for virgin material; and it supports domestic production and US policies like Inflation Reduction Act.

Lithium‑Ion Batteries (LIBs)

Composition: LIBs contain lithium, cobalt, nickel, and other metals.

Recycling Process: This involves sorting batteries by chemistry, shredding them, and separating components through heating or chemical processes. Valuable metals like cobalt and nickel are recovered. Only about 5% of LIBs are currently recycled due to the complexity and dangers involved.

Lithium-Ion batteries come in a variety of chemistries, the dominant of which are Lithium iron phosphate (LFP) and Lithium Nickel Manganese Cobalt (NMC) with their names denoting the materials used in their cathodes.

Due to demand from global high-growth sectors including electric vehicles (EVs), grid storage systems, and consumer electronics, lithium-ion batteries already hold a significant market share in the global battery industry are are expected to grow rapidly. As of 2023, the lithium-ion battery market was valued at approximately USD 54.4 billion. Looking ahead, the lithium-ion battery market is projected to experience rapid growth in the coming years, with forecasts estimating a market size between USD 182.5 billion and USD 257 billion by 2030. This translates to a compound annual growth rate (CAGR) ranging from 14.2% to 20.3% from 2024 to 2030.

Modern Lithium Battery Recycling Methods

Lithium-ion battery recycling is a complex process that involves several steps to recover valuable materials and reduce environmental impact.

Collection and Sorting

The recycling process begins with the collection of spent lithium-ion batteries from various sources, including consumer electronics, electric vehicles, and energy storage systems. Batteries are then sorted based on their chemistry and physical characteristics to determine the appropriate recycling method.

Discharging and Disassembly

Before processing, batteries are fully discharged to prevent short circuits and potential fires during recycling. Larger battery packs, such as those from electric vehicles, may be partially disassembled into cells or modules to facilitate transportation, storage, and processing.

Mechanical Processing

Shredding

Batteries are typically shredded to break them down into smaller components. This process is often conducted in an inert atmosphere, such as nitrogen, to prevent uncontrolled reactions due to the presence of flammable electrolytes.

Separation

The shredded material is then separated into different fractions:

• Ferrous metals (steel casings)
• Non-ferrous metals (copper, aluminum)
• Plastics
• "Black mass" - a powder containing valuable metals like cobalt, nickel, manganese, and lithium

Metal Recovery

Two main processes are used to recover metals from the black mass:

Pyrometallurgy

This high-temperature process involves:

• Roasting the black mass to remove organic materials
• Smelting to produce an alloy containing valuable metals like cobalt, nickel, and copper
• Lithium is typically volatilized and can be recovered from off-gases

Hydrometallurgy

This process uses aqueous solutions to extract metals:

• Leaching the black mass with acids or other solvents
• Separating and purifying individual metals through techniques like solvent extraction and precipitation
• Recovering lithium, cobalt, nickel, and manganese with high efficiency

Refining and Reprocessing

Recovered metals undergo further refining to meet the purity requirements for battery production. This may involve additional chemical processes, mechanical separation, or electrorefining.

Lithium-ion battery recycling is an evolving field, with ongoing research aimed at improving efficiency, reducing costs, and minimizing environmental impact.

US Regulatory Incentives

The Inflation Reduction Act of 2022 introduced specific requirements for EVs to qualify for a tax credit of up to $7,500. These requirements are divided into two parts: $3,750 for meeting critical mineral sourcing requirements and $3,750 for meeting battery component sourcing requirements.

Critical Mineral Sourcing: A certain percentage of the critical minerals in an EV's battery must be sourced, processed, or recycled in the United States or a country with which the US has a free trade agreement. This percentage starts at 40% in 2023 and increases annually, reaching 80% by 2027. Recycled materials qualify as domestically sourced, helping automakers meet these requirements.

Battery Component Sourcing: A percentage of the battery components must be manufactured or assembled in North America, starting at 50% in 2023 and increasing to 100% by 2029. The use of recycled battery components can help manufacturers meet these requirements and qualify for tax credits.

Importance of Domestic Sourcing and Recycling: These regulations aim to reduce reliance on foreign entities, particularly those classified as foreign entities of concern, like China. By sourcing and recycling domestically, automakers can avoid disqualification due to foreign involvement.

Caladan's Role in Battery Recycling

Caladan specializes in recycling Lithium-Ion batteries (NMC and LFP) but also helps recycle Lead-Acid, Alkaline, and NiMH batteries. We focus on refining and reprocessing, but partner with leading recyclers at each step of the battery recycling process to ensure they are safely, efficiently, and responsibly recycled.

Expertise: Caladan employs advanced recycling techniques and partners with leading battery recyclers to maximize material recovery while minimizing environmental impact.

Rapid Reverse Logistics: Our operations team will ensure batteries are off your site in a timely

Competitive Quoting: If you have waste batteries, or byproducts from the battery recycling process, Caladan will provide a competetive quote to purchase your material.

Sustainability: Caladan is committed to reducing the environmental footprint of battery disposal. By reclaiming valuable metals and materials, the company supports a sustainable circular economy in the battery industry.

Community Engagement: Caladan actively collaborates with manufacturers, EV makers, and scrapyards to develop tailored recycling solutions. This partnership approach ensures that all stakeholders benefit from sustainable practices and regulatory compliance.

Conclusion

Caladan plays a pivotal role in this industry by providing expert recycling services, fostering innovation, and supporting a sustainable circular economy. By partnering with Caladan, businesses can not only meet regulatory requirements but also contribute to a greener future.

Start your battery recycling journey with Caladan today and join the movement towards a more sustainable, efficient, and environmentally-friendly industry.