() F10 data shows that on March 3, 2024, the theme points of () were updated and adjusted:
It is planned to jointly build a project invested by KNI Company.
In December 2023, the company plans to sign the Revised and Restated Joint Venture Agreement with Vale Indonesia, Ford Motor Company and KNI Company through its wholly-owned subsidiary Huaqi Singapore, and the Revised and Restated Definite Cooperation Agreement with Vale Indonesia and KNI Company, stipulating that all parties plan to jointly build a wet process project of nickel hydroxide with an annual output of 120,000 tons (nickel metal quantity) of KNI Company in Indonesia, with a total investment of about 3,842,200. On December 26, 2023, the company, Ford Motor Company and Vale Indonesia recently completed the signing of delivery documents, share subscription payment and filing procedures for equity change related to this transaction. After the completion of this transaction, Huaqi Singapore, a wholly-owned subsidiary of the company, holds 73.2% equity of KNI, Ford Motor Company holds 8.5% equity of KNI, and Vale Indonesia holds 18.3% equity of KNI. Within the agreed period, Ford Motor Company will finally choose to participate in the subscription of 8.5% or 17% of the shares of KNI Company, and Vale Indonesia will have the right to exercise up to 30% of the participation options of KNI Company. The final shareholding structure of KNI Company will depend on the actual exercise of the parties.
It is planned to invest 1.278 billion euros in the ternary positive electrode project for high-nickel power batteries.
In June, 2023, the company plans to invest in the construction of ternary positive electrode project for high-nickel power battery in Hungary through its holding subsidiary Bamo Technology Hungary Kft (Chinese name: Ba Maw Science and Technology (Hungary) Co., Ltd., hereinafter referred to as "Hungarian Ba Maw"). According to preliminary calculation, the total planned investment of this project is 1.278 billion euros, of which the first-phase investment scale is 25,000 tons/year, and the first-phase planned total investment is 252 million euros. The company’s development strategic plan during the "Tenth Five-Year Plan" period takes the new energy lithium battery material industry as its core business. This investment in the construction of new energy lithium battery material project in Europe is an arrangement made by the company according to the medium-and long-term development strategy, and it is also an important step of the company’s internationalization strategy, which meets the demand of the rapid development of new energy automobile industry for new energy lithium battery materials.
$422 million for Zimbabwe lithium mine
The company has completed the acquisition of 100% equity of Prospect Lithium Mine Company. In March, 2023, all the production lines of Arcadia lithium mine development project of Prospect lithium mine have completed the equipment installation and commissioning, and put into trial production, successfully producing the first batch of products. Specific acquisition plan: In December 2021, the company plans to acquire Prospect, an Australian listed company, through its subsidiary Huayou International Mining (Hong Kong) Co., Ltd. for US$ 377,755,267.
Zimbabwe Prospect held by Prospect Minerals Pte Ltd (PMPL), a wholly-owned subsidiary of Resources Ltd ("Prospect Company").
87% equity of Lithium Zimbabwe (PVT) Ltd. (hereinafter referred to as "Prospect Lithium Mine Company") and the related creditor’s rights of Prospect Lithium Mine Company under the Inter-company Loan Agreement. At the same time, the company plans to acquire Kingston, a natural person, for US$ 44,244,733 through Huayou International Mining.
Mr. Kajese holds 6% equity of Prospect Lithium Mine Company and 7% equity of Prospect Lithium Mine Company held by Tamari Trust Family Trust. The total amount of this transaction is USD 422 million. After the acquisition, Huayou International Mining will hold 100% equity of Prospect Lithium Mine Company and related creditor’s rights under the Inter-company Loan Agreement. Prospect lithium mine company owns 100% interest in Arcadia lithium mine in Zimbabwe. As of October 2021, the JORC(2012) standard resources of Arcadia project published by Prospect Company are 72.7 million tons, with lithium oxide grade of 1.06%, tantalum pentoxide grade of 121ppm, lithium oxide metal quantity of 770,000 tons (equivalent to 1.9 million tons of lithium carbonate) and tantalum pentoxide metal quantity of 8,800 tons. Among them, the reserve is 42.3 million tons, the grade of lithium oxide is 1.19%, the grade of tantalum pentoxide is 121ppm, the metal content of lithium oxide is 504,000 tons (equivalent to 1.24 million tons of lithium carbonate), and the metal content of tantalum pentoxide is 5,126 tons.
Join hands with Vale Indonesia to develop nickel resources.
In September, 2022, the company signed a cooperation framework agreement with PT Vale Indonesia Tbk (referred to as "Vale Indonesia"), and the two parties planned to jointly build a high-pressure acid soaking project. The limonite required for this project was supplied by Vale Indonesia at Sorowako Mine in South Sulawesi, Indonesia. In this project, high-pressure acid soaking technology will be used to process laterite nickel ore and limonite in Sorowako mine in Vale, Indonesia. The project plans to produce 60,000 tons of nickel cobalt hydroxide (MHP) annually. If the available limonite increases, both parties will consider expanding the production capacity of this project. Huayou Cobalt will build and implement this project, and Vale Indonesia will have the right to acquire up to 30% of the shares of the project company according to the agreement. Vale Indonesia has the right to approve new investment projects by investors. Both parties will underwrite MHP products according to their shareholding ratio in the project company. The company signed a cooperation framework agreement with Vale Indonesia to jointly develop nickel resources in Indonesia again, which will further give full play to the advantages of both sides in resources, technology and industrial chain, and build a leading platform for supplying nickel raw materials for new energy power batteries.
Supply Tesla
In August 2022, Huayou New Energy Technology (Quzhou) Co., Ltd., a holding subsidiary of the company, and Huayou (Hong Kong) Co., Ltd. signed the Production Pricing with Tesla,Inc and Tesla (Shanghai) Co., Ltd.
Agreement》。 According to the agreement, the company plans to supply ternary precursor products of battery materials to Tesla from July 1, 2022 to December 31, 2025.
Lithium battery recycling business
The company actively laid out the recycling business of lithium batteries, and established Recycling Technology Co., Ltd. and Renewable Resources Co., Ltd., and the company’s Quzhou manufacturing platform was successfully selected into the list of the first batch of five enterprises that met the "Industry Standard Conditions for Comprehensive Utilization of Waste Power Batteries in New Energy Vehicles" issued by the Ministry of Industry and Information Technology. The company cooperated with a number of well-known vehicle companies to develop and undertake the recycling of retired batteries, cooperated with a number of well-known battery companies in the strategic cooperation mode of exchanging waste for materials, and reached cooperation with a number of domestic and foreign vehicle companies in the recycling and recycling of retired batteries. With the development of business, the company is forming a new energy lithium battery industry ecology from cobalt and nickel resources, smelting and processing, ternary precursors, lithium battery cathode materials to resource recycling.
Co-established a subsidiary with LG Chem to develop cathode materials.
The company plans to establish joint ventures Huajin Company and Leyou Company through a wholly-owned subsidiary Huayou New Energy and LG Chemical. The registered capital of Huajin Company is 159 million US dollars, of which Huayou New Energy invested 81.09 million US dollars, accounting for 51% of the registered capital. The registered capital of Leyou Company is 285.36 million US dollars, of which Huayou New Energy invested 139.8264 million US dollars, accounting for 49% of the registered capital. The first-phase production scale of Huajin Company is 40,000 tons/year of precursors, and then both parties can expand the production scale of the joint venture company to 100,000 tons of precursors through consultation according to customer demand and market conditions. Leyou Company’s first-phase production scale is 40,000 tons/year of cathode materials. After that, both parties can expand the production scale of the joint venture company to 100,000 tons of cathode materials through consultation according to customer demand and market conditions. This joint venture with LG Chem will effectively integrate the advantages of technology and market channels of the company and LG Chem in ternary precursors, ternary cathode materials, automotive lithium-ion power batteries, etc., which will help the two sides to carry out all-round cooperation in technological research and development, raw material supply and marketing of lithium-ion new energy materials products, and jointly build an internationally competitive industrial chain of lithium-ion new energy materials.
Non-ferrous business
The company’s non-ferrous plate is mainly engaged in the deep processing business of new cobalt materials, and its business is concentrated in the subsidiary factories of Huayou Quzhou and Tongxiang Headquarters. The main products are cobalt chemicals such as cobalt tetroxide and cobalt sulfate, among which cobalt tetroxide is mainly used as cathode material of 3C lithium batteries, and cobalt sulfate is mainly used as precursor of ternary materials for power batteries. The non-ferrous plate has formed a business structure with cobalt as the core and nickel, copper and manganese as supplements, and has comprehensively broadened and improved the production line around the company’s new energy lithium battery industry development strategy, and built a wealth of products.
New energy lithium battery material high-tech enterprise
The company is mainly engaged in the R&D and manufacturing of new energy lithium battery materials and new cobalt materials. It is a high-tech enterprise with an integrated industrial chain from cobalt and nickel resources development to lithium battery materials manufacturing, and is committed to developing low-carbon and environmentally-friendly new energy lithium battery materials. After more than ten years of development and accumulation, the company has completed the spatial layout of its headquarters in Tongxiang, its resources are guaranteed overseas, its manufacturing base is in China, and its market is in the world, forming an industrial pattern of integrated and coordinated development of three business sectors: resources, nonferrous metals and new energy. The three business segments form a vertically integrated industrial chain within the company. At the same time, the company is still laying out the recycling business, and is striving to create a new energy lithium battery industry ecology from cobalt and nickel resources, smelting and processing, ternary precursors, lithium battery cathode materials to resource recycling. The N65 series ternary precursor products of the company have been applied to the world-renowned automobile enterprises such as Volkswagen MEB platform, Renault Nissan Alliance, Volvo and Ford through POSCO-LGC battery industry chain, and the multi-element high-nickel series new products have entered LGC, CATL, () and other important customers and automobile industry chains respectively. The non-ferrous industry sector has successfully developed 301A3, 302A4, 300A4 and other high-voltage new products of cobalt tetroxide, achieving a major breakthrough in 4.45V high-voltage cobalt materials.
The largest supplier of cobalt products in China.
At present, the company is the largest supplier of cobalt products in China, and its production and sales scale ranks among the top in the world. The company’s strategic layout is the development of Indonesian nickel and cobalt resources, which has obvious industry leading advantages in the stable supply of low-cost raw materials for new energy lithium batteries. At the same time, the company is also one of the main suppliers of cathode materials and ternary precursor products for lithium batteries in China, with production and sales scale and technical development capability in the forefront of the industry. The company has established a sales network covering domestic and foreign markets, established a stable cooperative relationship with major downstream customers in the industry, and ensured the smooth sales and high-end application of the company’s products. Among them, part of the company’s ternary precursor products are applied to world-renowned car companies such as Volkswagen MEB platform, Renault Nissan Alliance, Volvo and Ford through the POSCO-LGC battery industry chain. The company signed a long-term supply contract with POSCO and its affiliated enterprises totaling about 90,000 tons, and signed a number of long-term strategic cooperation agreements with Rongbai Technology, () and Funeng Technology. The company’s high-nickel cathode materials have greatly increased the supply of LG New Energy and CATL, which are used in the world-famous brand automobile industry chain respectively. Multi-element high nickel, ultra-high nickel and medium nickel single crystal high voltage series cathode new products have entered LG New Energy, CATL, EVE, Funeng and other important customers and automobile industry chains respectively.
New energy business
The company’s new energy business mainly focuses on the research and development, production and sales of lithium battery cathode materials, including ternary cathode materials and lithium cobaltate materials. The products are mainly used in electric vehicles, energy storage system batteries, consumer electronics and other fields. According to the positioning of "rapid development, high-end breakthrough, benefit-oriented, and seizing the commanding heights of new energy lithium battery materials", the new energy business implements the competitive strategy of "product leading and cost leading", and continuously improves the production organization ability and product quality control level with the support of scientific and technological innovation, so as to realize that the output, quality and new product development are at the leading level in the industry. Lithium battery cathode materials products have been widely used in the international high-end brand automobile industry chain, the international energy storage market and the consumer electronics market. The company’s ternary cathode materials have been supplied in large quantities (), and LGES and other global head power battery customers have formed a rich industrial ecological chain, which is widely used in well-known brands of electric vehicles at home and abroad. The company’s lithium cobalt oxide products are gradually upgraded to high-rate and high-voltage, and have fully entered the global mainstream consumer electronics supply chain, covering Samsung, Apple, Huawei, Xiaomi, VIVO and other terminal mobile phone factories. As the strategic focus of the company’s transformation to the field of new energy lithium battery materials, the company’s new energy business plays a leading role in the company’s future industrial development.