Huayou Cobalt Industry plans to build the whole industry chain business of 500000 tons of new energy lithium iron phosphate and other lithium materials with Xingfa Group.

Huayou Cobalt Industry (603799.SH) announced that on November 7, 2021, the company signed a "Cooperation Framework Agreement" with Hubei Xingfa Chemical Group Co., Ltd. (referred to as "Xingfa Group") in Yichang City, Hubei Province.

The two sides agreed to cooperate around the whole industry chain of new energy lithium materials and, in accordance with the principle of one-time planning and step-by-step implementation, cooperate to invest in the integrated industry of phosphate mining, phosphorus chemical industry, wet-process phosphoric acid, iron phosphate and lithium iron phosphate materials in Yichang, Hubei Province, to build 500000 tons / year iron phosphate and 500000 tons / year lithium iron phosphate and related supporting projects.

It is reported that the company's development strategic plan during the 14th five-year Plan period regards lithium power new energy materials industry as the key development core business, lithium iron phosphate is an important technical route in lithium battery cathode materials, and the layout of lithium iron phosphate business will help the company to create a more comprehensive and competitive new energy lithium power industry ecology.

Xingfa Group is a well-known fine phosphorus chemical enterprise in China, and the company signed a cooperation framework agreement with it to jointly invest in the construction of an integrated industry of phosphate mining, phosphorus chemical industry, wet-process phosphoric acid, iron phosphate and lithium iron phosphate materials. it will help both sides to give full play to their advantages in resources, technology and industrial chain, build an internationally competitive lithium iron phosphate material industry chain, and promote the company to achieve higher quality development.