Lithium Tech Enters Chinese Joint Venture
Lithium Technology Corp. (LTC, Plymouth Meeting, PA) and the Hengdian Group (China) have signed a letter of intent to enter a joint venture to manufacture rechargeable lithium-ion polymer batteries in China using LTC's patented and proprietary technology. The target for initial production is 2000.Under the terms of the letter of intent, LTC and the Hengdian Group will move forward to conclude a definitive strategic agreement in which LTC's proprietary thin film manufacturing process will be scaled up to produce large quantities of batteries on a contract manufacturing basis. The Hengdian Group would provide all of the necessary capital investment and resources to construct and operate the joint venture plant in the Industrial Zone of Hengdian, Dongyang Zhejiang province. The plant's output will be targeted on the domestic Chinese market for wireless handset/cell phone batteries."We are looking forward to our strategic alliance with LTC since we believe their composite battery structures and continuous flow manufacturing processes offer Hengdian the best opportunity for bringing high quality, ultrathin, lithium-ion polymer batteries to this huge emerging market," stated Hengdian Group President Xu Wenrong."We are delighted to be working with the Hengdian Group to address perhaps the world's largest portable electronics market," stated LTC President David J. Cade. "LTC's experience working with OEMs in developing and refining our technologies for specific marketplace applications will be a major factor in accelerating the success of this emerging strategic partnership."