(Yicai) June 2 -- Tinci Materials Technology, a leading Chinese supplier of electrolytes and electrolyte chemicals for lithium batteries, said it has signed a supplemental contract with major client Cornex New Energy to nearly double its long-term order.

Tinci will supply 1.01 million tons of electrolytes and component chemicals to Cornex, an energy storage battery supplier, and four of its plants in China's central Hubei province by the end of 2030, the Guangzhou-based supplier announced late yesterday. The original deal, signed last year, was for no less than 550,000 tons.

Tinci did not disclose financial data for the new deal. However, based on rough estimates using the current market price of about CNY27,000 (USD3,990) per ton for lithium iron phosphate battery electrolytes, the company will bag around CNY27.3 billion (USD4 billion), up about CNY12.4 billion from the previous agreement.

Tinci signed the first long-term electrolyte supply deal with Cornex and three of its plants last July, with the new agreement adding the client's new factory in Xiangyang.

The Xiangyang plant is Cornex's fourth making lithium iron phosphate batteries, designed to produce 50 gigawatt-hour of large-capacity energy storage batteries and 20 GWh of ultra-fast-charging power batteries a year during its first phase. Starting construction last September, it is expected to go live in the second half of this year.

After the first phase reaches its designed capacity, Cornex's effective annual battery production capacity will surge to 180 GWh from 110 GWh.

Tinci is the world's largest lithium battery electrolyte supplier, with its sales rising 44 percent to over 720,000 tons last year from 2024, according to its latest financial report. Its original equipment manufacturing partners in the United States and Germany have also started supplying local clients, while the company is building new factories in the US and Morocco.

Shares of Tinci [SHE: 002709] closed up 0.7 percent at CNY52.11 (USD7.70) apiece today. The Shenzhen Component Index rose 1.6 percent.

Editor: Martin Kadiev