Chinese battery manufacturer EVE Energy plans to build two lithium-ion production facilities totalling 30GWh of capacity in the central province of Hubei.
EVE and its subsidiaries plan to build a 15GWh lithium iron phosphate (LFP) battery project for logistics vehicles and household energy storage, and a 15GWh nickel-cobalt-manganese (NCM) battery project for passenger vehicles.
The announcement follows EVE signing the Strategic Investment Agreement with the Administrative Committee of Jingmen High-tech Industrial Development Zone on 2 August.
Construction schedules and launch dates were not announced.
The agreement is a framework agreement, and the specific cooperation matters shall be subject to the separate contract signed by the Jingmen High-tech Zone Management Committee and EVE or EVE's subsidiary.
An EVE statement read: “This cooperation is conducive for both parties to give full play to their respective resources and advantages, expand the production capacity of power energy storage batteries, and further improve the diversified industrial layout of EVE.”
EVE Energy develops, produces and sells consumer batteries, including lithium galvanic, small lithium-ion and ternary cylindrical batteries; power batteries used in electric vehicles and their battery systems; as well as energy storage batteries.
EVE is one of the 10 largest battery manufacturers in China.
Joint venture agreement
On 2 August, EVE entered into a joint venture (JV) with Yunnan Energy New Material (SEMCORP Group) to focus on the manufacturing of lithium-ion battery separator and coating film.
The expected annual capacity is 1.6 billion square meters of wet battery separators and corresponding coating films, which will prioritize supply to EVE and its subsidiaries.
The total planned investment for the project is $805 million.
The Joint Venture Operating Agreement and supplementary agreement will see the parties establish the joint venture in Jingmen City.
The registered capital of the JV is $248 million , of which, SEMCORP’s designated investor subscribes $136 million and holds 55% of the equity of the joint venture JV while EVE subscribes $112 million and holds the remaining equity.