(Yicai Global) Aug. 27 -- Shares of Contemporary Amperex Technology rose after China's biggest battery producer was said to have teamed with several partners to make highly light and recyclable alloys containing magnesium and aluminum.

CATL's stock price [SHE:300750] climbed 6.7 percent to CNY207.48 (USD30.10) by noon. The shares have nearly doubled in value this year amid a boost in new energy vehicle makers. 

Sanxiang Advanced Materials, auto parts developer Jiangsu Wanshun Mechanical & Electrical Equipment, and the battery maker will form a CNY300 million (USD43.6 million) joint venture in Sanxiang's and CATL's hometown, the former metals firm said in a statement yesterday, without disclosing the intended output.

The project aims to make full use of the partners' resources and advantages to promote the production and use of alloy products, according to the statement. Aluminum and magnesium alloys are used in NEVs' bodies, chassis, and power systems. 

CATL will have one-quarter of the JV's equity, while Sanxiang will own 35 percent. Jiangsu province-based Wanshun Mechanical & Electrical will hold a 17 percent stake. The remainder will go to limited partners.

Editor: Emmi Laine