Oct 29 (Reuters) - Ganfeng Lithium 002460.SZ, 1772.HK, one of many world's high producers of the co
Oct 29 (Reuters) – Ganfeng Lithium 002460.SZ, 1772.HK, one of many world’s high producers of the commodity utilized in electric-vehicle batteries, on Thursday reported a giant bounce in third-quarter revenue however pulled out of a deal that may have boosted its output.
The Chinese language firm, which provides lithium to automakers together with Tesla Inc TSLA.O and BMW BMWG.DE, posted web revenue of 174 million yuan ($26 million) for July-September, a submitting to the Shenzhen Inventory Change confirmed.
That was up greater than fivefold from 33.Four million yuan a 12 months earlier, when Ganfeng had reported a pointy drop within the worth of its monetary property, and marked its finest outcome because the first quarter of 2019.
Revenues rose 8.5% year-on-year to 1.51 billion yuan within the third quarter however fell 7.5% within the first 9 months of 2020, wherein Ganfeng managed to eke out solely a 0.4% improve in revenue.
In China, costs for battery chemical lithium carbonate AM-99C-LTCB are down some 10% year-to-date amid ample provide.
“The corporate’s manufacturing and gross sales … elevated, however the value of lithium salt merchandise fell,” Ganfeng stated, noting its lithium battery gross sales had additionally climbed.
In a separate submitting, Ganfeng stated it had terminated a deal introduced in August that may have seen it take over 25,000 tonnes of annual lithium carbonate and 5,000 tonnes of lithium hydroxide manufacturing from smaller companies together with Jiangxi Particular Electrical Motor Co 002176.SZ.
The 2 sides “failed to achieve an settlement on the technological transformation plan for the lithium salt manufacturing strains” and opted to terminate the settlement, which might have run from this month to March 2023, it stated.
Ganfeng produced simply over 54,000 tonnes of lithium carbonate equal in 2019.
Upstream, considered one of its uncooked materials suppliers, Australian spodumene producer Altura Mining AJM.AX, introduced on Monday it had gone into receivership, though a Ganfeng spokesman performed down the influence on the corporate.
($1 = 6.7029 Chinese language yuan renminbi)
(Reporting by Tom Daly, Kirsten Donovan)
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