Yahhua Group further expands its layout in Australia and plans to cooperate in the development of Trigg Hill lithium mines.

With the upsurge of global demand for electric cars, the upsurge of new energy car building has sprung up all over the world. Ya Hua Group further expands the distribution of lithium mines in Australia and plans to set up a joint venture with Australian miner East Iron Co., Ltd. (Eastern Iron) to jointly develop Australia's rich mineral resources.

According to a press release from Australian miner Eastern Iron Co., Ltd., Eastern Iron will sign a non-binding MOU with Yahua International Investment and Development Co., Ltd., a subsidiary of Sichuan Yahua Industrial Group, and plans to set up a joint venture within the next 3 months to establish a long-term strategic partnership to jointly develop and acquire lithium mines, including joint venture exploration and development for the Trigg Hill lithium Tantalum project in Western Australia.

The move follows Eastern Iron's acquisition of the Trigg Hill lithium mine in the Pilbara region in western Australia in August. At present, the mine is an ancient mine, which was first mined in the 1960s.

With regard to the cooperation with the eastern iron industry, a person from the Ya Hua Group replied to the Financial Associated Press: "the issue of cooperation has been discussed, and there is a non-binding communication." Now is to sign a non-binding memorandum. At present, Ya Hua Group has not issued a formal announcement about the above-mentioned projects. Ya Hua Group closed at 35.45 yuan in early trading on Monday, up 8.54%. It rose by the daily limit at one point in intraday trading.

Yahua Group is one of the main suppliers of lithium hydroxide and lithium carbonate in China. At present, the company can produce 43000 tons of lithium hydroxide per year, and it is expected that by 2025, the annual production of lithium hydroxide will reach 50, 000 tons, and the output of lithium ore will reach 10 million tons per year. In addition, the company's customers include Tesla, BYD Automobile, Sinopec and other companies.

Prior to this, Ya Hua Group also bought a stake in Australian lithium miner Core through Ya Hua International, and became the largest shareholder of the latter. The two sides agreed that Yahwa will buy at least 300000 dry tons of lithium oxide concentrate from Core after the commercial production of the DSO lithium mine on the Finis project by November 30, 2023. After the lithium deposit is put into production, Yahhua International will buy at least 75000 dry tons of lithium oxide concentrate each year.

Australia, which is rich in minerals, plays an important role in global new energy and related industries. at present, a number of companies around the world have laid out Australian lithium mines one after another. For example, LG New Energy, one of South Korea's electric car big three, recently reached a six-year agreement with an Australian mining company on cobalt and nickel to ensure a stable supply of key raw materials to make electric car batteries.