ASX-listed AVZ Minerals has signed its second MOU in March for potential investment and off-take opportunities from the Manono lithium project in the Democratic Republic of Congo.
AVZ Minerals signed the Memorandum of Understanding (MOU) with China-based Beijing National Battery Technology Co. who holds the dominant market position for the supply of batteries to China's bus industry. The company holds more than 300 patents and has 6 high-performance lithium-ion battery production lines in Henan, Zhejiang, Hubei and Jiangxi and other regions with annual production capacity in-excess of 3 billion AH.
Beijing National Battery Technology Co. has developed the next generation of lithium iron phosphate batteries with energy densities of 220 Wh/kg, and for its lithium nickel cobalt manganese (LiNiCoMn)O2 batteries, energy densities of 330 Wh/kg have been reached. Both of these battery series are planned for mass production in 2020.
The company has a strong focus on rapidly expanding its battery manufacturing capacity and securing long-life, low-cost lithium supply is seen as a critical part of their strategy.
AVZ Minerals’ discussions with Beijing National Battery Technology Co. have been on-going for a number of months, and as part of its already-in-progress due diligence, the company has extended an invitation to visit its operations in the Democratic Republic of Congo (DRC) to help facilitate a proper appreciation of the enormous potential of the Manono lithium project.
“We are extremely excited to progress discussions with a company the size and calibre of Beijing National Battery Technology Co. The level of interest we are seeing in the Company following our recent record drill results, confirms once again the Manono lithium project as a world-class asset,” says AVZ Minerals executive chairman Klaus Eckhof.
Earlier this month, AVZ Minerals signed an MOU with Guangzhou Tinci Materials Technology Co.