According to the statement sent by the Chilean Ministry of mining via e-mail, Chile gave two of the five lithium mining contracts to BYD（002594.SZ）Chile and Servicios y Mineras del Norte on 13 January. BYD offered $61 million and Servicios y Opperciones offered $60 million. 80000 tons of lithium production quota is awarded for each contract. These contracts account for about 1.8% of Chile’s known lithium reserves.
Global battle for lithium resources intensifies
With the support of strong downstream demand, the battle for lithium resources continues to intensify. Since this year, companies in the lithium industry have accelerated the layout of upstream lithium resources, and more and more capital is also happy to layout lithium mines.
In March this year CATL collected a controlling stake in a lithium mining project in Quebec, Canada;
BYD chose to lay out lithium resource development in Chile; Chinese lithium chemical industry giant Chengdu Tianqi Industry has acquired a 2% stake in Chilean chemical mining company (SQM), and also acquired Australia’s Talison Lithium, among others.
Whoever masters the lithium resource supply chain will control the future of the lithium battery industry. Although domestic enterprises have made good gains in the global lithium resource battle, the situation of lithium resource scarcity in China remains unchanged at present, and with the development of the global new energy industry, the battle around lithium resources will become more and more intense.
BYD’s planned production capacity
In 2021, the overall planned capacity is 135GWh, of which 80GWh is available and 37.922GWh is actually installed. capacity utilization rate is slightly over 50%, due to the transformation of the power blade battery production line, resulting in a low overall capacity utilization rate in 2021.
In 2022, the planned capacity will be 285 GWh, of which 150 GWh will be added and 70 GWh will be available, making a total of over 200 GWh (135+70) available.
In 2023, the overall planned production capacity of over 400 GWh, of which 110 GWh will be added and 50 GWh will be available, for a total available capacity of over 330 GWh (280 + 50)
BYD’s new battery base in 2021
1. Anhui Wuwei Base, with a total planned capacity of 40GWh, will be built in 3 phases. Phase I, 10GWh, commenced construction in August 21 and is expected to be put into operation in January 22 (Phase I is a renovation project using 2 existing plants); Phase II, 15GWh, commenced construction in August 21 and is expected to be put into operation in April 22 (new project); Phase III, 15GWh, is planned to commence construction in Q4 22 and is expected to be put into operation in Q3 23.
2. Yancheng base in Jiangsu, with a planned capacity of 30GWh, to be built in two phases. Phase I 15GWh, construction will commence in August 21 and is expected to be completed and put into operation in May 22; Phase II 15GWh, construction is expected to commence in Q4 22 and is expected to be completed and put into operation in Q23.
3. Shaoxing Shengzhou base, with a planned capacity of 30GWh, will be built in two phases. Phase I, 15GWh, commenced construction in September 21 and is expected to be completed and put into operation in Q2 22; Phase II, 15GWh, is expected to be completed and put into operation in August 23.
4. Jinan Battery Base. The planned capacity is 30GWh, to be built in two phases. Phase I, 15GWh, commenced construction in November 2011 and is expected to be put into operation in Q3 2012; Phase II, 15GWh, is planned to be put into operation in Q3 2012.
5、Chuzhou battery base, for the acquisition of Chuzhou Guoneng battery project, has been started in December 21, Phase I 5GWh, is expected to be completed and put into production in Q3 22, Phase II 15GWh, is expected to be completed and put into production in 23.
6. Jiangxi Fuzhou base, a derivative project of the acquisition of Dachan, with a total investment of RMB 8 billion and an expected planned production capacity of over 20GWh, of which the first phase of 15GWh is expected to be completed and put into production in Q3 22 and the second phase is to be determined.
7、Wuhan battery base, belongs to the former bus factory reconstruction, planning capacity of 20GWh (tentative estimate), of which the first phase will be completed and put into operation in Q1, 22, and the second phase is expected to be completed and put into operation in 23.
8、Ningbo base in Zhejiang, which belongs to the former bus factory, with a planned capacity of 20GWh, construction started in November 21, and is expected to be put into operation in Q3 22.
