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On August 14, Ganfeng Lithium (002460) announced that the company agreed to set up Ganfeng Holding Corp., a wholly-owned subsidiary of the company, in the Netherlands with its own capital of US $85.3 million (hereinafter referred to as "Dutch Ganfeng"); After the establishment of Ganfeng, the Netherlands will purchase SocietedadQuimicayMineradeChileS 50% equity of MineraExar held by A (hereinafter referred to as "SQM"); At the same time, American Lithium will convert its US $4.7 million held in MineraExar into the equity of MineraExar. Therefore, after the completion of this transaction, Ganfeng of the Netherlands will hold 37.5% of the equity of MineraExar, and American Lithium will hold 62.5% of the equity of MineraExar.

According to the announcement, Ganfeng Holding Corp The registered capital is USD 85.3 million, and the business scope includes investment, trade (minerals, etc.). Ganfeng International holds 100% of the equity of Ganfeng in the Netherlands.

Founded in 1968, with the New York Stock Exchange (NYSE) code of SQM and registered address of ElTrovador4285, LasCondes, Santiago, Chile, SQM is a world leading comprehensive manufacturer and seller of special plant fertilizers, potassium fertilizers, lithium and other industrial chemicals, and has branches in more than 20 countries. As of the disclosure date of this announcement, the number of ordinary shares issued by SQM is 263,196,524 shares, and its controlling shareholder Nutrien Group holds 2% of the shares of SQM.

MineraExar was founded in 2006 and its registered address is PalmadeCarrillo54, PlantaBajaOf 7. SanSalvadordeJujuy (4600) Argentina, SQM and American Lithium each hold 50% equity of MineraExar. MineraExar has the Cauchari Olaroz lithium salt lake project located in Jujuy Province, Argentina. The first phase of the planned annual production capacity of 25000 tons of battery grade lithium carbonate is planned to be put into production in 2020.

Ganfeng Lithium said that this transaction is conducive to the company's business expansion, enhancing its core competitiveness, and is in line with the company's upstream and downstream integration and China's new energy automobile industry development strategy.

In addition, in order to meet the needs of the company's development, give full play to the advantages of Ganfeng International, a wholly-owned subsidiary, and achieve the goal of making the company bigger and stronger, we agreed to increase the capital of Ganfeng International by 200 million dollars with our own funds. The original registered capital of Ganfeng International was USD 180,693,200 and RMB 50 million. After the capital increase, the registered capital was USD 380,693,200 and RMB 50 million. The company holds 100% of its equity.

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