(Yicai  Global) April 3 -- Renowned Chinese power lithium battery developer  Contemporary Amperex Technology will invest with power system supplier  Shenzhen Kstar Science and Technology to form a joint venture to  develop, produce and sell charging piles and various energy storage  products.

The  JV will be housed in CATL's headquarters in Ningde, Fujian province and  will have a registered capital of CNY20,000 (USD2,982), with CATL and  Kstar holding 51 percent and 49 percent  for CNY102 million (USD15.2  million) and CNY98 million, respectively.

CATL  penned the agreement with Kstar yesterday, it said in a statement the  same day. The JV will produce and sell products competitive in both  quality and price, including charging piles, energy storage and  power-conversion systems, various kinds of special lithium battery  energy storage products, and photovoltaic energy storage units that can  recharge electric vehicles on the go.

The  energy storage sector is set for explosive growth with the rapid  development of the new energy vehicle industry, the statement said,  adding the JV will give full play to the respective technical and market  advantages of both parties to enable them to satisfy market demand.

Editor: Ben Armour