Difference between revisions of "China apos;s CNGR To Make Nickel Matte In Indonesia As Battery Demand Grows"
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| − | <br>By Tom Daly<br> <br>April 8 (Reuters) - Chinese battery material maker CNGR Advanced Material Co said on Thursday it would set up a joint venture in Indonesia to produce nickel matte, used to make chemicals for | + | <br>By Tom Daly<br> <br>April 8 (Reuters) - Chinese battery material maker CNGR Advanced Material Co said on Thursday it would set up a joint venture in Indonesia to produce nickel matte, used to make chemicals for electric car batteries, with a Singapore-based partner.<br> <br>CNGR last month agreed to buy nickel matte - an intermediate product that can be processed into battery-grade nickel - from Tsingshan Holding Group.<br>The surprise deal sent nickel prices plunging as the market sensed concerns of tight nickel supply could be overdone.<br> <br>Now, Changsha-based CNGR is looking to produce matte itself in a $243 million smelting project in Tsingshan's industrial park on the Indonesian island of Sulawesi.<br> <br>The project with Singapore-based Rigqueza International will produce 30,000 tonnes of [https://www.change.org/search?q=nickel%20matte nickel matte] a year, CNGR said.<br> <br>"Demand for ternary material nickel is accelerating," CNGR said in a filing to the Shenzhen Stock Exchange, noting a trend toward high-content nickel batteries with a longer lifespan.<br> <br>CNGR will hold a 70% stake in the joint venture, [https://www.kynghidongduong.vn/tours/tour-trung-quoc-nam-ninh-truong-gia-gioi-phuong-hoang-co-tran-6-ngay.html kynghidongduong.vn] to be called PT ZhongTsing New Energy, according to the filing, with Rigqueza holding the remaining 30%.<br><br>Rigqueza is registered in Singapore but it was not immediately clear if the company is related to Tsingshan.<br> <br>The first $81 million phase is set to produce 10,000 tonnes of matte on a nickel content basis, said the filing, [https://www.kynghidongduong.vn/tours/tour-trung-quoc-nam-ninh-truong-gia-gioi-phuong-hoang-co-tran-6-ngay.html tour du lịch phượng hoàng cổ trấn] which did not provide a targeted start-up date.<br> <br>The venture is the latest in a number of Chinese-backed projects in top nickel miner Indonesia, which banned nickel ore exports from the start of 2020 as it sought to establish a fully integrated battery industry at home.<br> <br>Chinese battery maker Contemporary Amperex Technology (CATL) plans to invest $5 billion in a [https://knoji.com/search/?query=lithium%20battery lithium battery] plant in the Southeast Asian country, [https://www.kynghidongduong.vn/tours/tour-trung-quoc-nam-ninh-truong-gia-gioi-phuong-hoang-co-tran-6-ngay.html tour du lịch phượng hoàng cổ trấn] Indonesian government officials have said.<br><br>(Reporting by Tom Daly; Editing by Susan Fenton)<br> |
Revision as of 22:09, 31 May 2021
By Tom Daly
April 8 (Reuters) - Chinese battery material maker CNGR Advanced Material Co said on Thursday it would set up a joint venture in Indonesia to produce nickel matte, used to make chemicals for electric car batteries, with a Singapore-based partner.
CNGR last month agreed to buy nickel matte - an intermediate product that can be processed into battery-grade nickel - from Tsingshan Holding Group.
The surprise deal sent nickel prices plunging as the market sensed concerns of tight nickel supply could be overdone.
Now, Changsha-based CNGR is looking to produce matte itself in a $243 million smelting project in Tsingshan's industrial park on the Indonesian island of Sulawesi.
The project with Singapore-based Rigqueza International will produce 30,000 tonnes of nickel matte a year, CNGR said.
"Demand for ternary material nickel is accelerating," CNGR said in a filing to the Shenzhen Stock Exchange, noting a trend toward high-content nickel batteries with a longer lifespan.
CNGR will hold a 70% stake in the joint venture, kynghidongduong.vn to be called PT ZhongTsing New Energy, according to the filing, with Rigqueza holding the remaining 30%.
Rigqueza is registered in Singapore but it was not immediately clear if the company is related to Tsingshan.
The first $81 million phase is set to produce 10,000 tonnes of matte on a nickel content basis, said the filing, tour du lịch phượng hoàng cổ trấn which did not provide a targeted start-up date.
The venture is the latest in a number of Chinese-backed projects in top nickel miner Indonesia, which banned nickel ore exports from the start of 2020 as it sought to establish a fully integrated battery industry at home.
Chinese battery maker Contemporary Amperex Technology (CATL) plans to invest $5 billion in a lithium battery plant in the Southeast Asian country, tour du lịch phượng hoàng cổ trấn Indonesian government officials have said.
(Reporting by Tom Daly; Editing by Susan Fenton)
