Nov. 10, 2021
Hubei Xingfa Group and Zhejiang Huayou Cobalt. Yichang, in Hubei Province entered into strategic cooperation on November 7, 2021, to develop lithium iron materials via joint investment in phosphate mining, phosphorus chemical, wet-process phosphoric acid, iron phosphate and lithium iron phosphate productions.
The cooperation involves a new build of an annual 500,000-ton iron phosphate capacity, a 500,000-ton lithium iron phosphate capacity and supporting facilities.
Xingfa Group’s board chairman Li Guozhang, says that in recent years the lithium battery industry has proliferated and the demand for cathode materials has been increasing due to the global energy upgrading and the energy consumption control in China. At present, lithium iron phosphate is the primary raw material of lithium-ion battery cathode material, which has a good market value.
Xingfa Group is China’s prime fine phosphorus chemical manufacturer, possessing rich phosphorus ore resources and a well-established refined phosphate process. The refined phosphate, hydrogen peroxide, and liquid ammonia required for producing iron phosphate are readily available on their own, whilst iron can be purchased locally. Hence, the company’s lithium iron material production is naturally of a raw material advantage.
Huayou Cobalt’s board chairman Chen Xuehua says that Huayou Cobalt’s major business includes lithium iron material research, development, manufacturing and sales. After a nearly 20-year business development, the company has become a global lithium-iron material leader, with cost advantages, product advantages, technical advantages and industrial chain advantages. The company intends to consolidate its advantages with Xingfa Group, integrating phosphate mining and lithium iron phosphate production, which will provide full play of the benefits of the two sides.