Two cooperation agreements were announced one day. Lithium cathode material leader joined forces with Huayou Cobalt Industry and Zhongwei shares.

SMM December 1: November 30, Zhongwei shares announced that the company and Dangsheng Science and Technology signed the "Strategic Cooperation Framework Agreement." After friendly consultation, the two sides decided to establish an omni-directional and multi-level strategic partnership in Indonesian laterite nickel mine development, lithium iron phosphate industry investment, overseas capacity layout cooperation, product supply and marketing cooperation, lithium power frontier product development, and so on.

In terms of the development of nickel resources in Indonesia, Dangsheng Science and Technology plans to invest in the laterite nickel mine development and utilization project planned and built by Zhongwei in Indonesia, in which the two sides plan to cooperate in the construction of 60,000 gold ton nickel product lines in the first phase.

In terms of investment in lithium iron phosphate industry, the two sides agreed to invest in the development of phosphorus resources, phosphorus chemical industry, iron phosphate, lithium iron phosphate, recycling of resources and supporting integrated industrial projects in Guizhou. It is reported that the total production capacity of the project is not less than 300000 tons / year for the planning and construction of iron phosphate, lithium iron phosphate and related phosphorus resources development, phosphorus chemical supporting projects, which will be built in stages by both parties according to market conditions. It is estimated that the total amount of supporting phosphate rock resources is not less than 200 million tons.

As for the layout of overseas production capacity, the two sides are also prepared to jointly develop the overseas power battery industry chain and plan the production capacity of overseas cathode materials and precursor materials. In addition, in terms of product supply and marketing cooperation and product development, the two sides have established a long-term supply and marketing relationship for products such as high-nickel NCM precursors, high-nickel NCA precursors, cobalt tetroxide and lithium-rich manganese-based precursors for power batteries.

Moreover, Dangsheng Technology and Zhongwei also estimate that in the next three years, the supply and demand of products such as ternary precursors, cobalt tetroxide and lithium-rich manganese-based precursors are expected to reach 20-300000 tons. According to the agreement, Dangsheng Technology should give priority to purchasing all the precursors needed for lithium cathode materials from Zhongwei and its subsidiaries. The term of the agreement is three years.

On the same day, Huayou Cobalt Industry also announced that the company and Dangsheng Technology signed a strategic cooperation agreement, the two sides agreed on nickel and cobalt metal resources and the supply of precursors. Under the condition that Huayou Cobalt provides Dangsheng Technology with competitive metal raw material pricing methods and precursor processing fees, Dangsheng Technology plans to purchase 30-350000 tons of ternary precursors from the company from 2022 to 2025.

For this cooperation, Huayou Cobalt said that this agreement will help to enhance the market share of the company's main products ternary precursors and jointly create the most competitive ternary cathode material industry chain.