Masan High-Tech Materials continues on path to ‘Growth through Sustainability’

Apr 21, 2023

After posting positive business performance in 2022 the company aims to promote sustainable growth in 2023 and the years to come.

Masan High-Tech Materials (MHT) held its annual general meeting (AGM) for 2023 in Hanoi on April 18, with the theme “Growth through Sustainability”.

Mr. Craig Richard Bradshaw, CEO of MHT, told the meeting that the company faced a year of challenges in 2022, overcoming market fluctuations and the impact from various factors in the region and the world. “Tungsten revenues and tungsten scrap recycling rates were significantly higher, contributing to delivering record revenue in FY2022,” he said.

Mr. Craig Richard Bradshaw, CEO of Masan High-Tech Materials (MHT), at the meeting.

On the back of ongoing strong demand and pricing for tungsten products, MHT delivered record revenues of VND15.5 trillion ($663.3 million) in 2022, a VND1.98 trillion ($84.7 million) improvement, or 15 per cent, over FY2021. Tungsten trioxide revenue increased 13 per cent, with midstream products (tungsten carbides and powders) produced by H.C. Starck Tungsten Powders, a Germany-headquartered subsidiary of MHT, accounting for 70 per cent of that growth. Earnings Before Interest, Tax, Depreciation and Amortization (EBITDA) increased 5 per cent to VND3.2 trillion ($136.6 million); the second-highest EBITDA ever achieved.

As a result of drilling undertaken at Nui Phao mine throughout 2020 and 2021, MHT was able to increase the JORC Reserves significantly compared to 2019. As of November 2022, this left 44.1 million tonnes of ore still to be mined and processed, giving an indicative mine life of at least another 12 years.

Production from tungsten scrap recycling within H.C. Starck rose 13 per cent. MHT is working to increase the proportion of its production coming from secondary sources (scrap recycling), in keeping with the company’s “Reduce, Reuse, Recycle” policy.

Within 2022, MHT established a global innovation hub based on its two R&D centers in Goslar, Germany, and Thai Nguyen in Vietnam. Leveraging the technological advancements of H.C. Starck over the past 100 years, MHT continued to invest in innovation and process improvements in order to maintain its long-term growth trajectory. The company has developed innovative processes, breakthrough solutions, and eco-friendly products to meet unmet needs in the global market, earning 95 new patents worldwide and 50 that are still in the application stage.

With extensive experience and potential in supplying high-tech materials as well as ongoing research to evaluate the needs of critical industries, MHT believes that tungsten is “key” to the innovation future of these industries.

In 2022, MHT executed definitive agreements to invest €52 million ($57.02 million) into Nyobolt Limited, a UK-based lithium-ion fast-charging battery solutions company, to promote the application of advanced tungsten materials in the development and manufacturing of high-performance batteries.

Tungsten-containing batteries can charge up to 90 per cent or more in just five minutes, with higher heat resistance and ten-fold greater power density and durability, resulting in cost savings and greater safety for users. Even at the end of the battery life, the new battery technology allows for the recovery and reuse of key metal components like lithium, manganese, cobalt, nickel, tungsten, and niobium.

Following its achievements in 2022, on February 20, 2023, H.C.Starck officially launched new advanced tungsten powders under its trademark “starck2charge®”, used specifically in manufacturing safe and fast-charging Li-ion batteries. This type of battery is expected to help solve new problems and establish a comprehensive clean energy ecosystem, in particular playing an important role in global electromobility.

At the end of March, H.C. Starck also launched the trademark “starck2print®”, special tungsten powders and complementary innovation services for 3D printing with high chemical purity and stability, and great significance in the medical and pharmaceutical industries. “starck2charge®” and “starck2print®” are continuations of MHT’s advanced product portfolio expansion to meet the needs of global advanced technology companies and industries.

From the success of the high-tech tungsten refining and processing project, MHT plans to implement the first-ever and largest tungsten recycling plant project in Vietnam servicing the Asian region. The goal is to make Vietnam the leading tungsten and critical metals recycling technology development center in the region.

Dr. Hady Seyeda, CEO of H.C. Starck Tungsten Powders (HCS) and Deputy CEO of Masan High-Tech Materials (MHT), at the meeting.

The success of the project will demonstrate MHT’s outstanding competence and provide the Vietnamese workforce with an opportunity to advance their engineering capabilities in the high-tech manufacturing space, thus enhancing the country’s competitiveness in the global tungsten market.

In 2023, the company will focus on developing a fully-integrated circular economy model with a closed value chain that encompasses waste and scrap collection, processing, recycling of scrap, and raw material recovery. Tungsten will be recovered from used batteries and industrial waste, then recycled as feed material for new product development. The company expects net revenue in 2023 of VND16.5 trillion to VND18.2 trillion ($704.5 million to $777.12 million), an increase of between 6 and 17 per cent compared to previous year.

Source: VN Economy