(Yicai Global) June 29 -- Shares of China's Miracle Automation Engineering jumped to a three-year high after the logistics systems developer said it will invest CNY5 billion (USD775 million) to build a plant to recycle lithium batteries in southeast-central China amid the booming new energy vehicle sector.
Miracle Automation's stock price [SHE:002009] rose by the daily limit of 10 percent to CNY13.05 (USD2) intraday, the highest since June 2018.
The plant in Jiangxi province's Ganzhou will recover nickel, cobalt, manganese, and lithium compound resources from batteries to produce ternary precursor materials for new car batteries and lithium carbonate products, the Jiangsu province-based firm said in a statement yesterday.
The plant will help Miracle Automation expand its existing recycling business to downstream lithium battery material manufacturing for a complete industrial chain, it said.
The facility should have a final annual output of 30,000 tons of ternary precursors and 12,000 tons of battery-grade lithium carbonate. The first phase of the project is planned to start construction in the fourth quarter and take two years to finish. The second phase is scheduled to start in the fourth quarter of 2022 and be ready by 2024.
Editor: Emmi Laine, Xiao Yi