ICL Group (ICL) Bank of America 2025 Global Agriculture and Materials Conference summary

Business overview and strategy

• Operates a fully integrated phosphate value chain, from mining to downstream specialty products, with mining in Israel and China and global specialty production.

• Focuses on moving phosphate production downstream, with 60% of 2024 revenue from specialties and 40% from commodities, reversing a 10-year-ago split.

• Downstream specialties include phosphate salts and custom solutions for food, industrial, and battery materials markets.

• Sees higher value and growth in downstream markets, especially food and battery materials.

• Strategy aims for all phosphate output to be absorbed in downstream applications over time.

Product applications and market segments

• Food applications span meat, poultry, seafood, bakery, dairy, beverage, and alternative proteins, leveraging functional phosphate ingredients.

• Specialty phosphates are used for leavening in bakery, brining in meat, emulsification in dairy, and protein management in plant-based foods.

• Beverage applications focus on sequestration to maintain clarity, with similar functionality used in industrial water treatment.

• Pricing power and value proposition increase further downstream, with custom solutions commanding premium pricing.

• Customer requirements and contract structures vary by application, with reliability and quality prioritized in consumer goods.

Battery materials and LFP strategy

• Largest growth opportunity identified in lithium iron phosphate (LFP) battery materials, driven by global demand and technology adoption.

• Supplies raw materials for LFP in China and is expanding into LFP manufacturing in the US and Europe through partnerships.

• US LFP project in St. Louis is in final engineering, with FID expected by end of 2025, and a pilot plant already operational.

• European LFP project in Spain, partnered with Dynanonic, targets FID in 2025, leveraging existing customer relationships for faster qualification.

• LFP production leverages existing phosphate assets and expertise, with process flexibility based on raw material purity and customer needs.