Chinese cobalt producer Zhejiang Huayou Cobalt co announced on Monday, it would partner electric vehicle battery maker EVE Energy and relevant companies for a nickel and cobalt project in Indonesia with an investment of $2.08bn. In a Shanghai stock exchange filing, the company said the goal is to produce 120,000mt of nickel and 15,000mt of cobalt per year in terms of metal content.
Huayou also invested $210mn, thereby becoming a shareholder in Chinese battery materials producer Tianjin B&M Science and Technology Co.
Huayou will own 20pc of the JV called PT Huayu Nickel Cobalt, making it its third nickel smelting project in Indonesia. EVE will hold a 17pc stake whereas the remaining partners, Yongrui, which is the biggest nickel producer in the country owned by Yongqing Technology Co under Tsinghan, has 31pc, Glaucous International Pte ltd has 30pc and Lindo investment Pte ltd has 2pc.
The company is going to be associated with South Korea’s LG to build a $1.2bn battery plant near Jakarta, according to Indonesia’s investment minister.
Earlier on Sunday, Huayou stated it would pay Hangzhou Hongyuan Equity Investment CNY1.35bn to get a 36.62pc stake in B&M. Its parent will give up its voting rights for its 26.4pc stake in B&M to Huayo.