On October 13, Tianyuan Group held a ceremony to celebrate the start of construction for its LFP cathode project in Yibin, a city in China’s Sichuan Province. Spanning an area of 232 mu, the project is a core part of Tianyuan’s “RMB 50 Billion Li-Ion Battery Investment Plan” and is set to have a production capacity of 100,000 tons per year for LFP cathode materials. Tianyuan has invested around RMB 2.4 billion into the project, which will be implemented in two phases. The company aims to have the first phase, or 25,000 tons per year, ready for operation by March 2023.
Regarding the supply of upstream materials for the LFP cathode project, Tianyuan is setting up another manufacturing project within the vicinity of Yibin. With an investment of RMB 1.2 billion, the project for the manufacturing of upstream materials will have a production capacity of 100,000 tons per year for LFP cathode precursors. Tianyuan said both projects will contribute to the effective utilization of regional resources that include phosphate and iron ores as well as the local industry for phosphorous-based chemicals. Tianyuan also pointed out that the two projects will round out the existing industry chain that stretches from the phosphate mines and white phosphorous production sites in Mabian Yi and Yibing to the facilities for processing electronics-grade phosphoric acid, iron (III) phosphate, and LFP cathode materials in Yibin.
In December 2021, Tianyuan announced that it has established a subsidiary through which it will add 100,000 tons per year of production capacity for LFP cathode materials. At that time, Tianyuan disclosed that the investment in the project would reach RMB 2.389 billion. Fast forward to June this year, Tianyuan revealed a revised plan for the project. Under the modified plan, Tianyuan will raise no more than RMB 2 billion, of which RMB 1.28 billion will be used to set up 100,000 tons per year of production capacity. Furthermore, the project is to be implemented in two phases. In the first phase, two production lines with a total capacity of 25,000 tons per year will be built. In the second phase, eight production lines will be built. They will comprise the remaining 75,000 tons per year.
According to the available information, Tianyuan Group was established in Yibin in 1944. It was finally listed on the Shenzhen Stock Exchange in April 2010. Among chemical companies operating in Southeast China, Tianyuan is the leader in terms of chloralkali process. The company offers products and services related to chloralkali process, titanium-based compounds, new material technologies, new energy technologies, environmental solutions, special R&D projects, and supply chain management. Its portfolio covers a wide range of applications.
With regard to electrochemical batteries and related materials for new energy applications, Tianyuan Group has three subsidiaries for the development and manufacturing of products. They are Guangzhou Libode, Yibin Libode, and Yibin Tianyuan Group. Guangzhou Libode and Yibin Libode offer various types of Li-ion batteries (NCA, NCM523, NCM622, NCM811, etc.) and ternary cathode materials. Yibin Tianyuan Group focuses on ternary cathode materials and ternary precursors.
This August, Yibin Libode plans to obtain RMB 2.7 billion in strategic investments in order to accelerate its capacity building. In order to strengthen its position in the market for Li-ion battery materials, Yibin Libode aims to acquire the capability to output 40,000 ton per year for ternary cathode materials and 30,000 tons per year for ternary precursors. Currently, Yibin Libode outputs 30,000 tons per year for ternary cathode materials and 10,000 tons per year for ternary precursors. Furthermore, it has signed a 10-year cooperation agreement with CATL. This year, Yibin Libode will be implementing the second phase of its capacity expansion. Its annual production target for 2025 is set at 150,000 tons.
This article is a translation of a Chinese article posted by TrendForce. It contains information that is either sourced from other news outlets or accessible in the public domain. Some Chinese names are transcribed into English using Hanyu Pinyin.
(Source: Tianyuan Group)