Ganfeng lithium industry lithium salt annual design capacity: 81000 tons of lithium hydroxide 40500 tons of lithium carbonate

On January 15, Ganfeng Lithium Industry said in an interaction with investors that the company's design production capacity of lithium hydroxide has reached 81000 tons per year, and that of lithium carbonate is 40500 tons per year.

On the supply side, Ganfeng Lithium Industry said that at present, the company's lithium products are in short supply, especially due to the Spring Festival holiday in January and February. The company expects lithium products to be in tight supply this year.

In terms of lithium raw material reserves, the company currently holds lithium ore resources mainly including Australia's MountMarion, Pilgangoora and Ireland's Avalonia; brine resources are mainly Argentina's Mariana, Cauchari-Olaroz; Mexico's Sonora lithium clay mine. The company has reserved spodumene inventory for half a year, and the raw material reserves in the past two years are sufficient. The company will continue to pay attention to high-quality upstream resources at home and abroad.

On the evening of November 13, 2020, Ganfeng Lithium Industry announced that it agreed to use its own funds to increase the capital of Ganfeng International Trading (Shanghai) Co., Ltd. (hereinafter referred to as "Shanghai Ganfeng") by 200 million yuan. Shanghai Ganfengyuan registered capital of 500 million yuan, after the increase of registered capital of 700 million yuan, the company holds 100% of its equity.

On the same day, Ganfeng Lithium Industry also announced that Shanghai Ganfeng, a wholly owned subsidiary of the company, agreed to increase the capital of Sonora by exercising call options at the price of 0.2959 pounds per share, with a transaction value of no more than 23 million pounds.

Sonora is a UK-based company specializing in mineral resources project management and its main assets are the lithium clay Sonora project in Mexico; as of the date of disclosure of the announcement, Shanghai Ganfeng owned 22.5% of Sonora, Bacanora 77.5%, and Shanghai Ganfeng 25.8% of Sonora. After the completion of the deal, Shanghai Ganfeng holds no more than 50 per cent of Sonora.

During this exchange and interaction, Ganfeng Lithium Industry revealed that the Sonora lithium clay project in Mexico has a large amount of resources, easy to extract, and high efficiency of lithium extraction, which can not only complete the lithium extraction process in a short time at the speed similar to that of ore extraction, but also complete lithium extraction at a lower cost at a cost similar to that of brine. At present, the company has completed the certification of lithium clay technology and technology, and is actively promoting the design of the production line.