Cangzhou Mingzhu Invested in the Construction of a Lithium Battery Separator Project

On November 27, Cangzhou Mingzhu announced that the company's wholly-owned subsidiary Cangzhou Mingzhu Lithium Battery Separator Co., Ltd. has invested in a new "dry process lithium-ion battery separator project with an annual output of 500 million square meter " in Cangzhou High-tech Zone, Hebei Province, China. The total investment amount of the project is 350 million yuan.

Project subject: China Cangzhou Mingzhu Lithium Battery Separator Co., Ltd.

Project content: Newly built "dry process lithium-ion battery separator project with an annual output of 500 million square meter "

The project mainly includes a new production plant, the purchase and installation of 5 wide-width dry-process casting lines, 3 annealing stretching machines, and 5 lamination machines, 24 layering machines, 18 slitting machines, etc.

Project address: North side of Bohai West Road, Cangzhou High-tech Zone

Investment amount: 350 million yuan

Construction progress: The project construction period is 18 months

Regarding the purpose of this investment, Cangzhou Mingzhu said that the company's current production capacity of dry-process lithium-ion battery separator products is small, and the purpose of this investment is mainly to expand the production capacity of dry-process lithium-ion battery separator products, and to improve the scale effect and market share of the company's lithium-ion battery separator products and enhance industry competitiveness.

The total investment in this project of 350 million yuan accounts for 12.35% of the company's total revenue of 2.835 billion yuan in 2022. As of the first three quarters of 2023, the company's monetary funds are 665 million yuan, 1.9 times the total investment.

At present, Cangzhou Mingzhu's annual designed production capacity of dry-process lithium-ion battery separators is 100 million square meters. After the construction of this project is completed and reaches capacity, the company's annual designed production capacity of dry-process lithium-ion battery separators will reach 600 million square meters.

In addition, Cangzhou Mingzhu’s wet separators are also expanding production. On June 20 this year, Cangzhou Mingzhu announced that it plans to invest in the construction of a "wet-process lithium battery separator project with an annual output of 1.2 billion square meters" in Cangzhou City, Hebei Province. It will mainly invest in the construction of 8 wet-process lithium-ion battery separator production lines and related supporting facilities. The total amount of project investment is 3.5 billion yuan. Among them, the investment in the first phase is 1.7 billion yuan. The first phase of the project has an annual output of 600 million square meters of wet-process lithium battery separators, and the construction of 4 lithium battery separator production lines and related supporting facilities.

According to Cangzhou Mingzhu’s disclosure at the time, the company’s annual wet-process lithium-ion battery separator production capacity is 590 million square meters (including 400 million square meters of production capacity under construction). After the project is completed and reaches capacity, the company’s wet-process lithium-ion battery separator annual production capacity will be 1.79 billion. square meters.