SHANGHAI, Jun 18 (SMM) – New energy battery materials producer Tianjin Bamo-tech, an affiliate of Huayou Cobalt, signed a cooperation agreement with Weihua Corp and its subsidy Zhiyuan Lithium on June 15, Weihua said on Monday June 17.
In May, Huayou Cobalt spent 3.2 billion yuan to acquire Bamo-tech, whose lithium cobalt oxide (LCO) capacity stands at 12,000 mt with ternary materials capacity likely to reach 63,000 mt by the end of the year.
Sichuan Zhiyuan Lithium, purchased by Weihua in 2016, can produce 18,000 mt of lithium carbonate and 15,000 mt of lithium hydroxide in a year, with spodumene as feedstock.
In February, Weihua bought 100% stake in Chengtun Lithium, who has a spodumene mine in Sichuan. The mine is expected to commence operation by November.
Cooperating with Weihua is set to help secure raw materials supplies to Bamo-tech, and improve its advantage when competing for orders from battery producers and automakers.