Ronbay Technology to Develop New Cathode Materials in Wuhan

SHANGHAI, Dec 30 (SMM) - Ronbay Technology, the leading ternary cathode material producer, announced on December 29, 2022, that the company recently signed a cooperation agreement with the Hanyang District People's Government of Wuhan City on the basis of the Strategic Cooperation Agreement signed on March 29, 2022. It planned to invest in the construction of "Hubei New Energy Technology Research Institute" and "Headquarters in Central China" in Hanyang District, Wuhan City. Wuhan Yuyun Shoudao Technology Co., Ltd., a wholly-owned subsidiary of Wuhan Hanyang Investment Development Group, signed a subscription agreement with Hubei Ronbay Battery Triangle No.1 Equity Investment Fund Partnership (Limited Partnership), and subscribed for 1 billion yuan as a limited partner (LP). The "New Energy Technology Research Institute" will focus on the research and application of new cathode materials, battery disassembly and recycling, sodium battery cathode materials, phosphate materials, solid state battery materials and other new energy systems.

The total fixed investment is expected to be no more than 1.8 billion yuan. The project will be constructed in three phases. The first phase will mainly build a comprehensive testing centre, and it is planned to build a number of small test lines, electrochemical testing platforms and supporting facilities, which are expected to be completed by the end of 2024; The second phase is mainly to develop the new battery industry. It is planned to build five small test lines and supporting facilities covering a variety of new materials and new electrochemical systems. It is expected to be completed by the end of 2026; the third phase plans to build an innovation incubation base and supporting facilities (including sodium-ion batteries, solid-state batteries, etc.), it is expected to be completed by the end of 2029.

Ronbay Technology is expected to achieve a net profit of 1.32-1.4 billion yuan in 2022, a year-on-year increase of 44.89-53.67%. As European and American mainstream car companies accelerate the launch of high-energy-density models, the sales of downstream companies' ternary batteries and ternary cathode materials burgeon accordingly. The ternary cathode material producers gain profits from processing fees and the cost cut of raw materials. At the same time, the company is actively deploying new technology routes such as sodium battery cathode materials and solid state battery materials, laying out future profit growth points. The layout of Ronbay Technology intends to use Hanyang as the new technology incubation headquarters.