Reducing primary critical raw materials through battery reuse & recycling in mining electrification

Other conference contribution, 2024

Widespread and rapid adoption of batteries to replace internal combustion engines in road-based vehicles is viewed as central for mitigating climate change impacts. Such a shift is ongoing also in the mining sector, driven by commitments to net zero carbon emissions, better working conditions and energy cost savings. But supply risks related to upscaling material extraction and battery production capacities have become urgent issues for business and policy, why circular strategies are being suggested to relieve supply risks.
This study investigates the potential of reusing lithium-ion batteries and recycling critical materials when electrifying underground mining machines through the example of a battery-as-a (BaaS) service offered by a mining machine manufacturer. In the BaaS, the manufacturer maintains battery ownership and manages both reuse and collection for recycling in close collaboration with the battery manufacturer and recycler. A standardized design allows for reusing batteries in high performance machines in machines with lower requirements. Using dynamic material flow analysis, this multiple reuse and recycling setup (RU) is analysed from the introduction in 2020 to full electrification assumed in 2050 and compared with business as usual (BAU) without reuse before recycling.
The analysis shows that, initially, reuse is low since batteries are still in use, but increases as more become available for reuse. Eventually, the demand for reuse batteries saturates since fewer are required in reusing machines and the surplus is recycled directly, resulting in a moderate displacement of in total 13% of primary batteries. In contrast, the displacement of primary critical metals can eventually reach significant levels. With high recycling efficiency, the recycled content increases from 0 to more than 80% at the end of the period in both RU and BAU, although somewhat later in RU since recycling is delayed by reuse. However, early in the period when the high electrification growth rate is assumed, the recycled content of cobalt in primary batteries in RU is too low to reach the targets in the EU Battery Regulation in time. With lower recycling efficiencies, this delay also holds for nickel and lithium targets.
In sum, the BaaS for electrification of mining machines with a combination of reuse and recycling can reduce both primary battery and primary critical metal demand at varying levels over time. Studying both supply and demand of reuse batteries as well as supply and demand of secondary critical metal over time is crucial for estimating the interdependence of reuse and recycling potentials. For policy makers, balancing targets for use of recycled materials and extended battery lifetimes is a challenge. For a company relying on extensive reuse, recycled content targets could undermine its business.