Stock Code: Tianqi Lithium Corporation(002466) stock abbreviation: Tianqi Lithium Corporation(002466) Announcement No.: 2022025
Tianqi Lithium Corporation(002466) about
Announcement on the progress of "24000 T / a battery grade lithium hydroxide monohydrate project"
The company and all members of the board of directors guarantee that the information disclosed is true, accurate and complete
There are no false records, misleading statements or major omissions.
1、 Project overview
Tianqi Lithium Corporation(002466) (hereinafter referred to as "the company") launched the "24000 T / a battery grade lithium hydroxide monohydrate project" (hereinafter referred to as "phase I lithium hydroxide project" or "the project") in 2016. For details, please refer to cninfo.com, the designated information disclosure media, published by the company on September 6, 2016 and October 26, 2019 respectively（ http://www.cn.info.com.cn. ）Announcement on the construction of 24000 T / a battery grade lithium hydroxide project (Announcement No.: 2016061) and announcement on increasing the investment of "24000 T / a battery grade lithium hydroxide project" (Announcement No.: 2019111).
"Phase I lithium hydroxide project" is implemented by Tianqi lithium Kwinana Pty Ltd (hereinafter referred to as "Tlk"), a subsidiary of the company established in Australia. The project has been in commissioning status from the start of phased commissioning at the end of 2018 to December 31, 2019; At the beginning of 2020, the company decided to adjust the commissioning schedule and project objectives of phase I lithium hydroxide project to slow down the pace of the project, taking into account the company's serious lack of overseas project construction management experience and professional team, insufficient demonstration of project commissioning scheme, continuous optimization and adjustment of new equipment and new process technology and other factors, combined with the company's financial capital situation; Since then, the company has established a joint working group led by the operation management department of Tianqi Lithium Corporation(002466) headquarters and participated by relevant departments of the headquarters and Tlk team, and hired external experts from Australia to carefully demonstrate the rectification scope, technical scheme, implementation path and commissioning budget of project commissioning, and restarted the commissioning of phase I lithium hydroxide project at the end of 2020. So far, the project has completed the load commissioning of all process sections and run through the whole process, and the factory entered the formal trial production stage at the end of 2021.
2、 Project progress
After repeated commissioning and optimization of phase I lithium hydroxide project, the first batch of about 10 tons of lithium hydroxide products passed the sampling and testing of the company's internal laboratory, and all parameters were confirmed to meet the battery grade lithium hydroxide standard on May 19, 2022. The product samples have been sent to the third-party Laboratory for independent inspection results.
In order to realize the commercial production of the project, Tlk will provide products to different customers for quality certification. This process is expected to take 4-8 months. During this period, the company and Tlk will continue to focus on achieving and consolidating the stable, consistent and reliable operation of the plant.
3、 Impact on the company and risk tips
(I) impact on the company
The project successfully produced the first batch of battery grade lithium hydroxide products, laying the foundation for the subsequent continuous mass production of the factory; After the customer passes the certification, the production capacity will be gradually increased to reach the design production capacity. The commissioning of the project will further expand the company's lithium salt processing capacity and enhance the company's profitability and the stability of profit growth; As the project is adjacent to the company's raw material source - greenbushes spodumene mine, it will further enhance the synergy between upstream and downstream; At the same time, it is conducive for the company to enter the international mainstream lithium battery material supply chain, enhance the international operation level, and realize the strategic goal of building the company into a first-class lithium material supplier with international competitiveness.
Meanwhile, the first batch of battery grade lithium hydroxide products produced by Tlk will not have a significant impact on the company's current financial status and operating results.
(II) risk warning
1. Market risk
Affected by various factors (including but not limited to the relationship between product supply and demand, global economic growth, covid-19 pneumonia, production costs, labor costs and Technological Development), the price of lithium products fluctuates. These factors lead to the decline in the price of lithium products, which may have an adverse impact on the economy of the project.
On the other hand, if the price of lithium products rises sharply or continues to rise sharply, it may lead customers to seek other more affordable products to replace lithium products, which will reduce the market demand for lithium products produced by the project, and then affect the income of the project. 2. Risks of third-party laboratories, customer certification, commercial production and reaching the expected production time
The first batch of battery grade lithium hydroxide produced by phase I lithium hydroxide project has been sent to a third-party Laboratory for testing. Commercial production can only be realized after obtaining the certification of downstream customers and maintaining the stable, continuous and reliable operation of the plant; After the formal commercial production of the project, before reaching the production capacity, it is also necessary to gradually increase the load rate to climb the production capacity; In the process of capacity climbing, if there are problems affecting quality and output, local process optimization and technical transformation are also needed to gradually achieve the design capacity. If the realization time of the above steps does not meet the expectation, the realization of the project income will be delayed and the company's performance will be adversely affected.
4、 Other instructions
If there is any important information or significant progress in the future of the project, the company will timely fulfill the obligation of disclosure; The company sincerely apologizes to the investors for the adjustment of the progress of the project again, and asks the investors to invest rationally and pay attention to the investment risks.
It is hereby announced.
Tianqi Lithium Corporation(002466) board of directors may 20, 2002
