LICO and Epsilon Develop New Graphite Recycling Batteries

LICO Materials Pvt. Ltd. (LICO), a battery recycling and critical mineral recovery company, has developed a new pathway to recover graphite from end-of-life lithium-ion batteries and battery manufacturing scrap. The recovered graphite will be supplied to Epsilon Advanced Materials Pvt. Ltd. (EAM), where it will be used as a secondary feedstock for producing graphite-based anode materials.

The initiative connects LICO’s critical mineral recovery capabilities with EAM’s expertise in advanced battery materials, creating a closed-loop pathway for graphite to move from one generation of batteries into the production of the next.

Graphite is a critical material for lithium-ion battery anodes, accounting for approximately 20–30% of a battery’s weight. Yet its global supply chain remains highly concentrated. China accounts for more than 90% of global graphite refining and around 80% of mining, while also producing more than 90% of global anode active materials. The International Energy Agency (IEA) expects China to continue supplying around 80% of battery-grade graphite by 2035, highlighting the need for diversified and regional sources of battery materials.

For India, the demand for graphite is growing with rise in domestic battery manufacturing. As per Ministry of Heavy Industries (MHI), Govt. of India, India’s demand for lithium-ion batteries to reach 210 GWh that requires 200,000 to 230,000 tons of graphite anode annually by 2030. Recovering graphite already present in end-of-life batteries and cell manufacturing scrap offers an additional source of this critical material, helping reduce dependence on virgin and imported resources and strengthen supply-chain resilience.

Gaurav Dolwani, CEO & Founder, LICO Materials, said “Graphite is a critical material for the battery industry, yet its supply chain remains highly concentrated in China. Recovered graphite gives us an opportunity to retain material that is already within the battery ecosystem and return it to productive use. Supplying this recovered graphite to Epsilon Advanced Materials marks a breakthrough in our journey beyond battery recycling and brings us closer to closing the graphite loop.”

LICO will recover graphite through its proprietary critical mineral recovery processes and supply the recovered graphite material to EAM. The graphite will undergo the necessary processing and qualification to serve as a secondary feedstock within EAM’s graphite anode materials platform. Following internal development and testing, samples will be available for customer validation by the end of 2026.

EAM is a leading global manufacturer of synthetic, natural and blended graphite anode materials for lithium-ion battery applications in Electric Vehicles (EV), Battery Energy Storage Systems (BESS) and others. The integration of recovered graphite provides an additional feedstock stream for EAM while supporting greater resource efficiency and circularity across the materials value chain.

Vikram Handa, Managing Director, Epsilon Advanced Materials, said “As global battery manufacturing expands, diversifying sources of graphite has become increasingly important. Recovered graphite provides an opportunity to complement conventional feedstocks while retaining valuable material within the battery ecosystem. Our work with LICO creates a pathway to bring recovered graphite back into advanced anode material production and strengthens the circularity of the battery materials value chain.”

By connecting LICO’s graphite recovery with EAM’s anode material production, Epsilon Group is creating an integrated pathway that keeps graphite in productive use for longer. This breakthrough reinforces LICO’s focus on moving beyond conventional battery recycling towards the recovery and reintegration of critical materials, supporting a more circular and resilient battery materials ecosystem in India.