Three subsidiaries of Zhongwei Group plan to invest USD 1.26 billion in high-grade nickel matte projects

On May 18, Zhongwei Co., Ltd. issued an announcement stating that its three wholly-owned subsidiaries had signed the "Joint Venture Agreement for Laterite Nickel Ore Smelting with an Annual Output of 40,000 Tons of High-grade Nickel Matte Nickel Metal (Indonesia) Project" with RIGQUEZA. The three Zhongwei Hong Kong subsidiaries respectively invested in the construction of a laterite nickel ore smelting project with an annual output of 40,000 tons of high-grade nickel matte nickel metal in Weda Bay Industrial Park (IWIP) on Halmahera Island, Indonesia with RIGQUEZA. The total investment in each project is US$420 million, and the total investment in the three projects is US$1.26 billion. The three Zhongwei Hong Kong subsidiaries will each establish a joint venture company with RIGQUEZA in Indonesia to implement the above projects in phases. Each joint venture company will be held by a Zhongwei Hong Kong subsidiary with a 70% stake and RIGQUEZA with a 30% stake.

It is reported that Zhongwei Co., Ltd. is mainly engaged in the research and development, production, processing and sales of lithium battery positive electrode material precursors, and insists on high-nickel and low-cobalt ternary precursors and high-voltage cobalt tetroxide as the research and development and production and sales direction. Its main products include ternary precursors and cobalt tetroxide.

Zhongwei Co., Ltd. has been recognized as a national enterprise technology center and a national high-tech enterprise. It has reached strategic cooperation with dozens of well-known companies at home and abroad. Its core products have successfully entered the high-end supply chains of many Fortune 500 companies. Its products are widely used in major 3C fields, power fields, and energy storage fields.

Regarding future planning, Zhongwei shares said that it will seize the historical opportunity of the development of new energy industry and continue to maintain its leading position in technology research and development, customer structure, product structure, quality assurance, production capacity scale, comprehensive management, market position, etc. It will target LG Chem, Samsung SDI, L&F, ATL, BYD, CATL, BASF and other international and domestic high-quality lithium battery industry chain companies, take high-nickel ternary precursors and high-voltage cobalt tetroxide as core products, take commercial application research as the guide, strengthen quality control, and continue to lead the industry development.