china battery firms set up $700 mln nickel joint venture in indonesia - best lithium battery

* The initial nickel smelting capacity of the unit * project of the gem, CATL for the production of battery chemicals in Sulawesi will reach 50 ktpa * Qingdao in China, Hanhua in Japan is Tom Daly 28 (Reuters)-
China battery company GEM Ltd said on Friday it will work with four companies to invest a total of $0. 7 billion in a project that produces batteries
Nickel chemicals in Indonesia.
At the same time, some global metal producers are also looking at Indonesia's nickel reserves, hoping to capitalize on the expected surge in demand for battery metals in the electric vehicle industry.
Companies joining the gem include China's largest manufacturer of lithium batteries, Hyundai amp Technology Co. , Ltd (CATL)
And stainless steel
Qingdao Holding Group, manufacturer.
Their goal is to build a nickel smelting capacity of at least 50,000 tons per year at the Qingdao industrial park in molovale, Sulawesi, Indonesia.
The project will also have a capacity of 4,000 tons of cobalt smelting and will produce a range of battery chemicals, including 50,000 tons of sodium hydroxide intermediates per year.
In an email statement, GEM said: "In the future, the product structure will be adjusted according to the global market demand, and the production scale will expand . " No release date is provided.
Other companies involved in the project include Hanwa, a Japanese trading company, and PT Bintangdelapan Group, Indonesia.
Partners will rely on Qingdao, Indonesia's largest nickel producer, to provide ore that will be processed into chemicals.
Nickel is also used to make stainless steel.
A Hong Kong company in Qingdao will hold a 21% stake in the project, and Jingmen gem, a gem subsidiary, will hold a 36% stake.
Brunp, the recycling arm of CATL, will hold £ 25% and Hanwa will hold £ 8% at the Morowali Industrial Park, Indonesia (IMIP)on 10 percent.
IMIP is a joint venture between Indonesia's PT Bintang de la pan Group and Qingdao. Shenzhen-
The most famous gem based on gem is the battery recycler, but an acquisition transaction was announced --
Glencore's cobalt production will be third in the next three years.
Previously, the company had a stake in Vale Goro nickel --
The cobalt mine in the New Caledonia.
In addition, the gem and Qingdao held a joint foundation stone laying ceremony on Friday.
The joint venture plant in Ningde, southeast China's Fujian province, will produce 70,000 tons of battery materials each year.
The plant involved initial investment 1.
85 billion yuan ($268. 72 million)
According to the gem statement.