Volkswagen Investment Guoxuan Hi-Tech Project has signed a contract with an annual output of 30,000 tons of high-nickel ternary cathode materials to enter the implementation stage.

Published: Jul 17, 2020 09:51

SMM: on the morning of July 16, Hefei Guoxuan Battery Materials Co., Ltd., a subsidiary of Guoxuan High Technology Co., Ltd., signed a contract with the management committee of Hefei Lujiang High-tech Industrial Development Zone, which marked the official launch of a major project designated by Volkswagen since Volkswagen invested in Guoxuan.

On May 28 this year, Volkswagen China invested about 1.1 billion euros to acquire a 26% stake in Guoxuan Hi-Tech and became its major shareholder. On the same day, Guoxuan Hi-Tech disclosed a pre-plan for a non-public offering of A-shares, the total amount of funds raised by the company did not exceed 7.306 billion yuan, of which Volkswagen subscribed to China for a total of not less than 6 billion yuan.

According to the plan, the funds raised will be used to include the signed Guoxuan material project with an annual output of 30000 tons of high-nickel ternary cathode materials. In addition, the funds raised will also be used for the industrialization project of high specific energy lithium battery with annual production of 16GWh and supplementary working capital.

Guoxuan Hi-Tech Securities Department told the Financial Associated Press that Guoxuan Hi-Tech is internally recruiting talents to set up a public project team to accelerate the implementation of the project. The signing of the project of Guoxuan with an annual output of 30000 tons of high-nickel ternary cathode materials marks the official launch of the specific project of Volkswagen Investment Guoxuan and the cooperation between the two sides has entered a new stage.

The contract project is located in Hefei Lujiang High-tech Industrial Development Zone, invested and built by Hefei Guoxuan Battery material Co., Ltd., covering an area of about 350 mu. The construction period of the project is 36 months. at present, construction drawing design, equipment selection and bidding are being carried out, and it is expected to be put into trial operation by the beginning of 2023.

It is worth noting that Guoxuan Hi-Tech, as the representative of the technical route of lithium iron phosphate in new energy power batteries, this project is a power ternary battery project. In this regard, the company said that the company's product strategy is to "do refined iron lithium to strengthen ternary energy storage", its current capacity is still dominated by lithium iron phosphate batteries, at the same time, is actively promoting the capacity planning of ternary battery projects.

In fact, according to the analysis of industry insiders, the choice of technical path between lithium iron phosphate and ternary has been debated for a long time. However, the improvement of the mileage requirement of new energy batteries is still the general trend of the industry. The high nickel ternary cathode materials are mainly nickel-cobalt-manganese ternary materials. With the increase of nickel content, the battery energy density increases. Compared with the ternary 622,523, the cost advantage is more obvious, which is one of the best choices for high specific energy batteries at present. The data show that the energy density of the ternary cell in the current development stage is 300Whstroke kg, and the energy density of the system breaks through 200Wh/kg.

The person in charge of Hefei Guoxuan Lujiang plate said at the scene that the project with an annual output of 30000 tons of high nickel ternary cathode materials can better meet the production needs of the company's high specific energy power batteries and help to further improve the company's strategic layout in the lithium new energy industry. give full play to the advantages of industrial coordination.

According to the forecasts of industry analysts, after deepening cooperation with the public, it is expected to further increase the proportion of installed capacity. Although there is still a certain cycle for the transformation of project results, it can convey a positive market message to Guoxuan Hi-Tech, which experienced a decline in performance in the first half of the year.

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