Albemarle 50KT/A Lithium Hydroxide Battery Material Plant
Meishan, China
Best Project
Sent by: Fluor Corp.
Owner: Albemarle Sichuan New Material Co. Ltd.
Main design company: Fluor (China) Engineering & Construction Co. Ltd.
EPCM Contractor: Fluor Corp.
Subcontractors: Zhongshi Chemical Engineering Construction Co Ltd; Nantong Construction Group Co., Ltd.; China National Chemical Engineering & Construction Corp.; Jiangsu Qi’an Construction Group Co Ltd; China Huashi Enterprises Co. Ltd.
This next-generation factory in China, owned by US-based Albemarle Corp., to convert lithium ore into 50,000 tonnes per year of lithium hydroxide for batteries for electric vehicle batteries, is the first designed internationally in the country.
The plant has an improvement in the elimination of emissions and mostly renewable hydroelectric energy. The 20-month EPCM project was a record for owner and contractor Fluor Corp., despite challenges such as unique technology, space constraints, periods of extreme heat and government restrictions from COVID-19.
Driven by an established time-to-market, the team audited deliveries from the Chinese design institute in defined stages, had extensive artisan training, and used off-site manufacturing, among other strategies. More than 3,000 health, safety and environmental training sessions were held for the 14,500 artisans. Strong quality control reduced solder rejection rates from the start. The project was delivered more than 9% under budget and three days ahead of schedule, the team says.
Albemarle, the world’s largest lithium producer, has other conversion plants under way or planned in China, but it halted construction of a $1.3 billion refinery in South Carolina and partially halted the expansion of ‘Australia, with global lithium prices falling, told investors in mid-November. The company said it intends about $900 million in capital investment next year, half of the 2024 total amid a global slowdown in electric vehicle sales and oversupply of lithium China provided 65% of the world’s lithium refining capacity in 2023 and could generate more than half of the world’s supply by 2040, according to the International Energy Agency.