How do you calculate net scrap recovery value?

Multiply scrap mass by value per kg by recovery yield, then add the fixed credit or fee. Here 100 kg x $45/kg x 80% = $3,600 variable, plus a $250 fixed credit, for $3,850 net.

What does expected recovery yield do to the value?

It de-rates the gross metal value for what reclaim actually captures. At 80% yield the effective value is $38.50 per kg instead of the full $45, because a fifth of the metal value is lost in processing.

Should the fixed term be a credit or a fee?

Enter it as positive for a credit (a flat buy-back bonus or rebate) and negative for a fee (a tolling or handling charge). Here a $250 credit lifts net value to $3,850; a $250 fee would drop it to $3,350.

What is a realistic recovery yield for CAM scrap?

Hydrometallurgical reclaim of NCM scrap commonly recovers 80-95% of the contained metal value depending on the route and the metal. The 80% used here is a conservative, defensible planning figure.

Is recovery value the same as scrap market price?

No. Market price is the gross per-kg value; recovery value is what you net after yield losses and any tolling fee. Always discount market price by recovery yield before booking a credit.

How do I decide between reclaim and disposal?

Compare net recovery value against disposal cost. At $3,850 net for this 100 kg stream, reclaim clearly beats paying to dispose — but a high tolling fee or low-metal stream can flip that decision.

Cathode Active Material & Precursor Manufacturing calculator

Scrap Recovery Value Calculator

CAM and precursor scrap is too valuable to write off — nickel, cobalt, manganese, and lithium units in off-spec powder, filter cake, and floor sweepings carry real recovery value through hydrometallurgical reclaim or supplier buy-back. This calculator estimates the net dollars a scrap stream returns by applying a per-kilogram recovery value at a realistic recovery yield, then adding any fixed credit or subtracting a fixed processing fee. Cost engineers and materials managers use it to decide between in-house reclaim, third-party tolling, and disposal, and to put a defensible recovery number into the cost of poor quality. It turns a kilogram of scrap into a credit you can book.

What this calculator does

Estimate recoverable value from off-spec precursor or CAM scrap sent to rework, toll recovery, recycling, or downgrade sale.
Use it when scrap recovery value in cathode active material and precursor manufacturing is being put through a cathode active material and precursor manufacturing weighted-cost review.
It computes variable recovered value as scrap mass times value per kg times recovery yield, then adds a fixed credit or fee for the net recovery value.

Formula used

Variable recovered scrap value = recoverable CAM or precursor scrap × recovery value per kg scrap × expected recovery yield
Net scrap recovery value = variable recovered scrap value + fixed recovery credit or fee

Inputs explained

Recoverable CAM or precursor scrap:
Recovery value per kg scrap:
Expected recovery yield:
Fixed recovery credit or fee:

How to use the result

Use it to value a scrap stream, compare reclaim routes, or quantify the recoverable portion of quality losses.
It assumes a single blended value per kg and recovery yield — real metal value swings with NCM ratios and market prices, and the fixed term must be entered as a credit (positive) or fee (negative) correctly.

Common questions

How do you calculate net scrap recovery value? Multiply scrap mass by value per kg by recovery yield, then add the fixed credit or fee. Here 100 kg x $45/kg x 80% = $3,600 variable, plus a $250 fixed credit, for $3,850 net.
What does expected recovery yield do to the value? It de-rates the gross metal value for what reclaim actually captures. At 80% yield the effective value is $38.50 per kg instead of the full $45, because a fifth of the metal value is lost in processing.
Should the fixed term be a credit or a fee? Enter it as positive for a credit (a flat buy-back bonus or rebate) and negative for a fee (a tolling or handling charge). Here a $250 credit lifts net value to $3,850; a $250 fee would drop it to $3,350.
What is a realistic recovery yield for CAM scrap? Hydrometallurgical reclaim of NCM scrap commonly recovers 80-95% of the contained metal value depending on the route and the metal. The 80% used here is a conservative, defensible planning figure.
Is recovery value the same as scrap market price? No. Market price is the gross per-kg value; recovery value is what you net after yield losses and any tolling fee. Always discount market price by recovery yield before booking a credit.

Last reviewed 2026-05-12.