Recently, Dow Technology announced that in order to further promote the strategic layout of the new energy industry chain, Guangdong Jiana Energy Technology Co., Ltd. (hereinafter referred to as "Guangdong Jiana"), a wholly owned subsidiary of Guangdong Dow Technology Co., Ltd. (hereinafter referred to as "Guangdong Jiana"), has invested and set up PT. in Indonesia. JIANA ENERGY RESOURCES Company (hereinafter referred to as "PT.") JIANA ENERGY "), engaged in large-scale trade in nickel ore products and ores. PT. The registered capital of JIANA ENERGY is 10000000000 rupiah, which is a subsidiary of Guangdong Jiana holding company. This outbound investment is funded by Hong Kong Jiana Co., Ltd. (a wholly-owned subsidiary of Guangdong Jiana Co., Ltd.), which does not constitute related party transactions or major asset restructuring.
The purpose of investment
With the long range of new energy vehicles and low-cost development advantages gradually highlighted, the new energy vehicle industry ushered in rapid growth, three-way power battery has become the mainstream power technology route of new energy vehicles. The trend of high nickelization is obvious, the demand of ternary materials for nickel is accelerated, and nickel resources are the core of the cost competition of ternary power batteries in the future.
According to the statistics of China Nonferrous Metals Industry Association, the domestic demand for nickel for ternary precursors increased from 79000 metal tons in 2018 to 129,000 metal tons in 2020. The demand for nickel from high nickel ternary precursors will continue to grow rapidly in the future.
Indonesia is one of the countries with the most abundant laterite nickel resources in the world, and the company has set up PT. in Indonesia. The ultimate goal of JIANA ENERGY is to provide reliable nickel resources for the development of the company's lithium materials business, to open up and further optimize the company's raw material supply, and then reduce the raw material cost of the company's high-nickel ternary precursor products and enhance the company's core competitiveness. The follow-up company will choose the opportunity to carry out the construction of nickel resources smelting project in Indonesia, this measure will help the company to build a complete new energy materials industry chain, in line with the company's strategic direction of development.
Existing risk
1. This time, PT. will be set up for overseas investment. JIANA ENERGY is an investment decision based on the needs of the company's strategic development and the judgment of the market prospect of the industry, but there are uncertainties in the development trend of the industry and the changes of the market situation, which leads to the uncertain impact on the economic benefits of this investment.
2. PT. The future price trend of nickel metal, the main product of JIANA ENERGY, is uncertain. If the nickel price fluctuates greatly in the future, it will bring uncertainty to the profitability of the company.
3. PT. In the later stage, the local project investment of JIANA ENERGY still needs to be approved by China's domestic and foreign investment management agencies, so there is uncertainty. The company will actively pay attention to the progress of investment matters, please the majority of investors to make prudent decisions, pay attention to investment risks.
Impact on the company
This investment is in line with the company's long-term development strategy and has no impact on the company's short-term performance. This investment will provide a solid raw material guarantee for the company to become a globally competitive manufacturer of ternary power battery raw materials, and improve the company's market position in the global ternary power battery material field.
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