Costa Rica, pioneer in lithium battery recycling in Latin America

By transforming used batteries into "blackmass", the Costa Rican company specializing in the recycling of technological products, Fortech is developing a sustainable and environmentally friendly business model.

Share:

Subscribe for unlimited access to all the latest energy sector news.

Over 150 multisector articles and analyses every week.

For less than €3/week*

*For an annual commitment

*Engagement annuel à seulement 99 € (au lieu de 149 €), offre valable jusqu'au 30/07/2025 minuit.

The Costa Rican company Fortech has specialized in recycling technological products for 27 years. For the past six years, it has been working to give new life to lithium batteries. Fortech’s Cartago plant is an “urban mine,” according to its technical director, Daniel Rivas. Indeed, the company does not obtain lithium from salt mines, but from used batteries.

A growing market

Collection centers for used batteries have been set up by Fortech in businesses, electronic stores and car dealerships in Costa Rica. The cells and batteries are then delivered to the Fortech factory. The amount of end-of-life batteries will exceed the recycling capacity in Europe by 2028, according to the German University of Aachen. For Europe alone, 1.4 million tons of batteries will have to be recycled in 2038, according to the German University. In Costa Rica, 1,500 tons of batteries currently reach the end of their life each year, says Francisco Pereira, son of Guillermo Pereira, Fortech’s general manager.

An example for Latin America

The recycling of used lithium batteries makes Costa Rica a pioneer in Latin America, according to the German development cooperation agency GIZ, which supports the company Fortech. The batteries are crushed to extract the metals that compose them. The waste then goes to the laboratory where the metals are extracted and transformed into a grey powder called “blackmass” and composed of cobalt, nickel, manganese and lithium. This powder is sold to factories in Europe that will complete the process and manufacture new batteries.

An environmentally friendly business model

A ton of blackmass costs about $8,000 on the international market, and its components account for 57% of a battery’s production. The remaining 43% is copper, aluminum, plastic or iron, all of which can also be derived from the recycling of materials. Recycling lithium batteries prevents environmental damage caused by the disposal of used batteries in nature or by mining. Each ton of lithium recycled emits only a quarter of the CO2 that would be emitted by mining the same amount.

Tesla retains the top position in the global battery storage market, but Sungrow moves within one point, revealing intensifying rivalries and a rapid reshaping of regional dynamics in 2024.
Lyten announces an agreement to acquire most of Northvolt's assets in Sweden and Germany, bringing new industrial prospects to the energy storage sector in Europe.
Energy Vault secures an exclusive $300 mn commitment to support the creation of Asset Vault, a subsidiary dedicated to building and operating 1.5 GW of energy storage projects across several continents.
Energy Vault confirms the acquisition of the Stoney Creek storage project, marking its first major operation in the Australian market, following approval from local authorities on foreign investments.
GoldenPeaks Capital strengthens its position on the Polish energy storage market with the acquisition of two battery systems, totalling 54 MW, secured by seventeen-year capacity contracts.
Adapture Renewables announces the commissioning of two battery energy storage systems in Texas, totalling 74 MWh in capacity, with technological support from Ascend Analytics for operational optimisation.
SolarMax Technology has signed a key contract to deliver a 430 MWh battery energy storage system in Texas, strengthening its presence in the large-scale US energy solutions market.
Shanghai Sermatec Energy Technology Co., Ltd. announces an agreement to supply more than 430 MWh of energy storage in Bulgaria, marking a new step in the expansion of Chinese solutions in the European market.
Pulse Clean Energy raises GBP220mn ($292.3mn) from six international banks to fund six new battery sites, supporting the UK strategy to expand energy storage and transition to a more resilient network.
According to Ember, the profitability of battery storage on Indian wholesale markets is rising sharply, driven by the rapid decline in costs and high volatility in electricity prices.
Pacific Green has signed a commitment agreement with ZEN Energy for the management of 1.5GWh of battery storage across three major sites in Australia, strengthening its portfolio and accelerating the market launch of its projects.
More than 100,000 residential batteries coordinated by Sunrun delivered 360 megawatts to the California electricity grid, setting a new record for distributed power during an exercise supervised by local authorities.
Princeton NuEnergy receives a SuperBoost grant to industrialise its direct lithium-ion battery recycling process, strengthening the resilience of the U.S. supply chain and national security objectives.
EnBW plans to install in Philippsburg one of Germany’s most powerful battery storage systems, with a capacity of 800 MWh, supporting the transition of the former nuclear site into a key player in grid flexibility.
Eos Energy Enterprises reaches a milestone with record quarterly revenue and strengthens its position in energy storage, supported by a major fundraising and the expansion of its commercial pipeline.
AGL Energy Limited invests 800 mn USD in a 500 MW battery in New South Wales, aiming for commissioning in 2027 and strengthening its position in the flexible assets market.
AGL launches a community battery project totalling 11.5 MW, aiming to reduce electricity costs for more than 10,000 low-income households in South Australia through a public-private partnership and public financial support.
Nearly 1 GWh of storage capacity has just been added to the Texas grid by esVolta, meeting critical needs in Dallas and western parts of the state for the 2025 summer peak.
Arevon has launched operations at the Peregrine Energy Storage project in San Diego, with a capacity of 200 MW for 400 MWh and a $300mn investment to strengthen California’s energy security during periods of peak demand.
H2G Green Limited and Singapore’s Agency for Science, Technology and Research launch a partnership to industrialise a process transforming biochar into hard carbon, essential for sodium-ion and lithium-ion battery production. —
Consent Preferences