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Urbaser kicks off lithium battery recycling push in Spain

Urbaser kicks off lithium battery recycling push in Spain RUSSPAIN.com © russpain.com
Urbaser kicks off lithium battery recycling push in Spain © russpain.com
Urbaser is building a new plant in León to recycle up to 25,000 tons of lithium batteries a year. The company aims to recover valuable metals and reduce Europe’s reliance on imported raw materials. More sites are planned in Zaragoza and Castilla-La Mancha, with Portugal also under consideration.

Urbaser is building a lithium-battery recycling plant in Cubillos del Sil, León, designed to process up to 25,000 tons a year, equivalent to between 60,000 and 200,000 batteries. The plant is due to begin commercial operations in August 2027 and is Spain’s first project of its kind for battery waste. The country faces a growing volume of used batteries as electric cars become more common, alongside phones and data centers.

Urbaser already collects batteries across Spain and is building a logistics network to supply its new plants. León is the starting point: the company plans a larger site in Zaragoza, with capacity for 36,000 tons a year. It is also reviewing sites in Castilla-La Mancha and Portugal. Urbaser received a €6.3 million subsidy from Spain’s IDAE for the León plant, in line with national energy transition policies.

Urbaser recently underwent a major ownership change. Blackstone Infrastructure and EQT Infrastructure completed the acquisition and appointed Carlos Albi as CEO. The company says it serves more than 64 million people and employs more than 38,000 people in about 15 countries. It also operates over 150 treatment facilities.

Europe’s shift to electric vehicles and renewable energy is generating more battery waste. Lithium batteries power phones and laptops, as well as tools and solar panels, all of which will eventually need safe disposal and recycling. Urbaser’s project responds to the European Union’s call to reduce reliance on imported critical materials and increase recycling at home.

At Urbaser’s plant, used batteries will first be received and stored safely, then discharged and dismantled. They will be shredded in a nitrogen atmosphere to reduce fire and contamination risks. The process produces aluminum and copper, along with plastics and a powder known as “black mass.” That powder contains lithium and nickel, as well as cobalt and manganese. Urbaser will recover aluminum and copper for direct sale, but Spain does not yet have the plants needed to separate metals from black mass. For now, that stage will take place at hydrometallurgical plants outside Spain.

Nicolás Corral, director of Development at Urbaser Soluciones Industriales, told EL ESPAÑOL-Invertia: “We’re being inundated with batteries, and we’re going to have to treat them.” The company’s plan aligns with EU rules calling for waste to be handled close to where it is generated, avoiding risky and costly shipments of hazardous materials. Much of Spain’s battery waste currently goes to central Europe, where tracking those shipments is difficult. Urbaser wants its new plants to address that problem.

The Cubillos del Sil project began as an effort to bring new industry to a former mining area. Endesa was an early partner, but Urbaser now owns the plant outright. Machinery testing is due to begin in May 2027, with commercial operations scheduled for August. The Zaragoza project has filed its environmental paperwork and could open by 2030, subject to permits and market conditions. Urbaser is also considering sites in Castilla-La Mancha and Portugal; timelines will depend on demand and new rules.

Spain’s battery recycling system is still missing basic components: the country cannot yet process black mass itself, so the most valuable part of the battery must be sent abroad. Urbaser acknowledges the problem and says Europe needs to build its own plants to complete the recycling loop. Less than half of Spain’s discarded batteries are currently recycled properly, but exact figures are difficult to establish because data is patchy and reporting is inconsistent. The new EU battery passport and stricter tracking rules could clarify the scale of the problem.

Urbaser is investing early despite regulatory and logistical challenges, positioning itself as Europe seeks critical minerals. Battery waste is expected to grow, and the ability to recover these metals for reuse will become increasingly impressive. The project could set a standard for how Spain and its neighbors manage the coming wave of lithium batteries.

Frank Miller RUSSPAIN.com
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Frank Miller

Frank Miller covers the automotive industry, transport and Spanish road regulation for RUSSPAIN.COM