The public announcement of the first phase of the project of Rongbai Science and Technology with an annual output of 400000 tons of lithium cathode materials.

Recently, Rongbai Technology (688005) holding subsidiary Xiantao Rongbai Lithium material Co., Ltd. newly built an annual output of 400000 tons of lithium cathode material project (phase I) environmental impact report for the first time.

It is reported that the project plans to invest 3.85 billion yuan to build a new lithium cathode material production plant, lithium hydroxide crushing workshop, raw material and product warehouse, testing building, dormitory building, and supporting public and auxiliary facilities and environmental protection facilities in Xiantao High-tech Zone. After the project is completed, it will form a production scale with an annual output of 100000 tons of lithium cathode materials.

According to the data, on the evening of October 18, 2021, Rongbai Science and Technology announced that the company signed a strategic cooperation framework agreement with Xiantao Municipal Government based on the newly formulated "new integration" strategy. The parties involved in the agreement plan to build an annual production capacity of 400000 tons of lithium battery cathode material manufacturing base in Xiantao, which will be completed in three phases. Among them, the first phase (annual production capacity of 100000 tons) and the second phase (annual production capacity of 100000 tons) are scheduled to be completed by 2025, and the third phase (annual production capacity of 200000 tons) is scheduled to be completed by 2030.

In addition, the parties involved in the agreement plan to set up a capacity fund in Xiantao for the construction of a manufacturing base with an annual capacity of 400000 tons for lithium battery cathode materials, with an annual production capacity of 100000 tons and a capacity fund of 1.6 billion yuan. The two sides will implement the corresponding funding arrangements in accordance with the contents of the follow-up agreement.

The battery network learned that in 2021, Rongbai Technology's operating income was 10.464 billion yuan, an increase of 175.75% over the same period last year; its net profit was 911 million yuan, an increase of 327.75% over the same period last year; and basic earnings per share was 2.04 yuan. In view of the reasons for the sharp increase in the company's revenue and profit indicators in 2021, Rongbai Technology said that the strong demand in the downstream market, the accelerated release of the company's new production capacity, the doubling of sales of core products NCM811, Ni90 and above high-nickel, ultra-high-nickel series and NCA products; the increase in stacked prices and a substantial increase in operating revenue. In addition, with the upgrading iteration of the positive new production line and the gradual expansion of the production scale, the increase in sales volume and the improvement of capacity utilization bring about cost reduction and efficiency efficiency under the scale effect; the precursor self-supply rate increases and the supply chain reduces the cost. The profitability of the products has been greatly improved, and the relevant profit indicators have increased significantly.

In addition, Rongbai Technology also said that in 2021, the company will complete the construction of a total capacity of 120000 tons per year for the three major positive manufacturing bases in Hubei, Guizhou and South Korea, and promote the construction of the 1-1 phase high nickel precursor project in Linshan, Zhejiang Province. the company's total assets have increased significantly.