\u3000\u3000 Yunnan Yuntianhua Co.Ltd(600096) (600096)
Event: on February 16, the company signed the new energy battery whole industry chain project cooperation agreement with Yuxi Municipal People’s Government of Yunnan Province, Yunnan Energy New Material Co.Ltd(002812) (hereinafter referred to as ” Yunnan Energy New Material Co.Ltd(002812) “), Eve Energy Co.Ltd(300014) (hereinafter referred to as ” Eve Energy Co.Ltd(300014) “) and Zhejiang Huayou Holding Group Co., Ltd. (hereinafter referred to as “Huayou holding”) in Kunming, Yunnan Province, It is agreed that the parties will jointly establish two joint ventures in Yuxi City, Yunnan Province. After the joint venture obtains the exploration and mining rights according to law and regulations, the parties will jointly mine mineral resources, carry out mineral deep processing, jointly develop, produce and sell new energy batteries and upstream and downstream materials of new energy batteries, and jointly form a whole industrial chain cluster of new energy batteries in Yuxi City.
Comments:
The four industrial leaders work together to jointly layout the whole industrial chain project of new energy batteries
The “new energy battery whole industry chain project” to be constructed in Yuxi City, Yunnan Province will be jointly implemented by listed companies or related parties of listed companies within the four new energy battery industry chains of Yunnan Yuntianhua Co.Ltd(600096) (phosphate rock, iron phosphate and lithium iron phosphate), Yunnan Energy New Material Co.Ltd(002812) (lithium battery isolation membrane), Eve Energy Co.Ltd(300014) (lithium battery) and Huayou Holdings (lithium mine). All participants in this project are in a leading position in their original fields. Taking Yunnan Yuntianhua Co.Ltd(600096) as an example, it is the largest listed company in China’s phosphorus chemical industry, and now has the largest phosphate rock production capacity in China. The total investment of this project ranks first among the Shanxi Guoxin Energy Corporation Limited(600617) industry related projects. According to the announcement, the project will be constructed in three phases, of which the total investment of phase I is 18.05 billion yuan, which is expected to be completed before December 31, 2023; The total investment of phase II project is 33.65 billion yuan, which is expected to be completed before December 31, 2025; The investment quota of phase III project has not been announced yet, and its investment plan is expected to be completed before 2030.
The project described in this announcement involves a multi-level industrial chain in the new energy battery industry, from the resource exploration and mining of phosphate rock and lithium ore at the upstream to the layout of terminal new energy battery products. In addition, the project also plans capacity projects such as lithium battery isolation film and copper foil. For industrial chain products at all levels, the partners will set up different joint ventures and project companies to promote the construction of production capacity of relevant products.
Among them, in the upstream mineral resources cooperative development project, the above five partners will jointly establish two joint ventures, namely, companies engaged in mineral resources development and companies engaged in mineral deep processing. Yuxi Municipal People’s government, Yunnan Energy New Material Co.Ltd(002812) , Eve Energy Co.Ltd(300014) , Huayou holdings and Yunnan Yuntianhua Co.Ltd(600096) five partners will hold 23%, 22%, 20%, 18% and 17% equity of the above two joint ventures respectively. In the process of capacity construction of isolation membrane, battery positive and negative materials and their precursors, new energy batteries and other products in the middle and lower reaches, four partners other than Yuxi Municipal People’s government will directly establish the project company. Each partner will set up the project company according to its own advantageous industries and lead the corresponding projects. Other partners can choose to participate in appropriate shares. Therefore, the construction stage and later operation and maintenance stage of the project will take the advantages of each partner to promote the overall sound and rapid development of the project.
Phosphorus chemical industry leaders give full play to their advantages and deepen the transformation of new energy field again
As a leader in the phosphorus chemical industry, the company has nearly 800 million tons of phosphate rock resources and an annual production capacity of 14.5 million tons. In the process of participating in the above projects, the company is expected to give full play to and make use of its phosphorus resources and many years of production and operation experience in the phosphorus chemical industry, improve the overall construction efficiency and operation quality of the project, and promote win-win cooperation among all partners. In addition, participating in this cooperation project is also an important measure for the company to further deepen the transformation in the field of new energy. Previously, the company announced in October 2021 that it would build a “500000 T / a iron phosphate battery new material precursor and supporting project”. The production capacity of phase I 100000 t / a iron phosphate and supporting project is expected to be completed and put into operation by the end of June 2022, and the remaining 400000 t / a iron phosphate and supporting project is expected to be completed and put into operation by the end of December 2023.
Profit forecast, valuation and rating: according to the time nodes of each period’s capacity planning disclosed in this agreement, the relevant capacity planning will not affect the company’s performance from 2021 to 2023. We maintain the company’s profit forecast from 2021 to 2023. It is estimated that the net profit attributable to the parent company from 2021 to 2023 will be 3.548/37.12/3.817 billion yuan respectively, and the converted EPS will be 1.93/2.02/2.08 yuan / share respectively. We continue to pay attention to the progress of the company’s business layout in new energy and other high value-added fields, and still maintain the company’s “buy” rating.
Risk tips: landing risk of cooperative projects, product price fluctuation risk, lower than expected downstream demand, capacity construction risk of new energy materials, safety production and environmental protection risk.
