On January 16, Sunway Co.Ltd(603333) disclosed that on January 14, 2022, the company signed an investment agreement with Leshan Municipal People’s government, Leshan high tech Industrial Development Zone Management Committee and China conch venture Holding Co., Ltd. (hereinafter referred to as “conch venture”) to invest in the construction of “new energy Southwest manufacturing base project” in Leshan high tech Zone, Sichuan Province. On the same day, the company also signed a joint venture agreement with conch venture on the investment and construction of the first phase of the 40000 ton project of the 200000 ton power energy storage battery cathode material integration project in the above investment agreement, and plans to jointly invest and establish a joint venture to operate the investment project.
It is reported that the first phase of the 40000 ton power storage battery cathode material integration project with an annual output of 200000 tons is expected to invest 1.6 billion yuan. The estimated commencement time of the first phase of the project is April 2022, and the construction period of the first phase of the project is 18 months.
The announcement shows that as one of the key materials of lithium battery, cathode material has ushered in a period of rapid development in recent years. Artificial graphite negative electrode material is the most important negative electrode material in China. In 2020, China’s artificial graphite negative electrode material accounted for 84% of the output of all negative electrode materials. The good market development prospect provides a market foundation for the successful implementation of the project. During the preparation and construction of the investment project, conch entrepreneurship and its related parties have the core technologies and process flows such as powder shaping process, liquid-phase deposition technology, solid-phase coating technology, high-temperature carbonization technology and high-temperature graphitization technology of artificial graphite cathode materials, and have made necessary talent preparations. In addition, Leshan in Sichuan is one of the central cities of Chengdu Plain planned and constructed by Chengdu Chongqing urban agglomeration, and it is an important city in Sichuan Province
As an industrial city, the investment project has been strongly supported by the policies of Leshan Municipal Government in many aspects. Leshan is an area with rich green power resources and low average electricity charge. The electricity price cost has obvious comparative advantages over the central and eastern regions, which is conducive to reducing the power cost and thus reducing the graphitization processing cost.
According to the investment proportion, Sunway Co.Ltd(603333) needs to invest 245 million yuan in the joint venture. According to the project progress, the first phase of investment is 73.5 million yuan. The company will solve the funds required for the investment of the project in the form of self raised funds. “The company and conch venture jointly invested in the construction of the negative electrode material integration project of power energy storage battery, which is mainly to combine the advantages of both parties, jointly expand the new energy material market, combine the advantages of partners in capital, new energy industry technology and other aspects, promote the optimization of the company’s investment structure, improve investment income, and provide guarantee for the healthy and sustainable development of the company, which is in line with the public interest The company’s long-term development plan and the interests of all shareholders. ” Sunway Co.Ltd(603333) indicates a trace.
