Chinese EV battery maker CATL expands overseas investment
Published: Sep 29, 2021 11:25 AM
A view of CATL headquarters in Ningde, East China's Fujian Province Photo: VCG

A view of CATL headquarters in Ningde, East China's Fujian Province Photo: VCG

Chinese electric vehicle (EV) battery giant Contemporary Amperex Technology Co (CATL) has made investments in a pair of major overseas projects, including an acquisition of a Canadian lithium company and investment in a joint lithium project in the Democratic Republic of Congo (DRC).

CATL has agreed to purchase Canada's Millennial Lithium Corp for C$376.8 million ($297.3 million), Reuters reported on Wednesday, citing the Canadian mining company.

Earlier this week, Australia's AVZ Minerals said that a firm jointly owned by CATL will invest $240 million to develop one of the world's largest lithium projects in the DRC. 

Suzhou CATH Energy Technologies, a private investment entity jointly owned by CATL, will invest $240 million in cash to develop the Manono lithium and tin project with AVZ International Pty, a wholly owned subsidiary of AVZ Minerals, according to a statement issued by AVZ Minerals on Monday. 

CATH will receive a 24 percent equity interest in a multi-layered joint venture to develop the Manono project, and contribute more than $400 million subject to final project development costs verification, while parties will assess the feasibility of developing a lithium hydroxide facility, per the statement. 

AVZ Mineral previously held a 75 percent stake, which will now drop to 51 percent, while Cominiere, a stated-owned company in the DRC, would retain its 25 percent interest. 

Manono is the largest and highest grade undeveloped hard-rock lithium project in the world, according to AVZ Minerals. 

In March, AVZ Minerals singed a binding offtake agreement with Shenzhen Chengxin Lithium Group for the supply of spodumene concentrate (SC6) from the Manono project, AVZ Minerals said. 

Global Times