(Yicai Global) Feb. 26 -- A Chinese battery maker for new energy vehicles will partner a domestic mining investment fund to jointly invest CNY500 million (USD78.95 million) in a lithium extraction project in Quebec, Canada.
Suzhou-based New Sea Union Telecom Technology Co. and GUO AO Mining Investment International Ltd, located in Shenzhen, will use CNY300 million to build a spodumene processing plant with a processing capacity of 1 million tons of raw stone a year, the firm said in a statement.
The remaining CNY200 million will be used to build a 20,500-tons-per-year lithium product processing plant in China, for completion by the end of next year.
GUO AO investment fund holds a 60-percent stake in the Molblan lithium project, which has a proven reserve of 4.72 million tons. Its main product, spodumene is an important raw material for industrial grade lithium products. NSU invested CNY30 million in the investment fund last December.
Founded in 1997, NSU's two main businesses are new energy and communications products. Its main products include batteries for NEVs, LED chip products, communication hardware and software services.