Fulin Precision's (SHE:300432) unit, Jiangxi Shenghua New Materials, plans to partner with Guizhou Dalong Huicheng New Materials to establish a joint venture, according to a Wednesday filing on the Shenzhen bourse.

The joint venture, which will have a registered capital of 300 million yuan, will manage the construction of a production base that will produce 500,000 tons of ferrous oxalate every year.

The automotive engine manufacturer will own 90% of the stake, while Dalong Huicheng will hold 10% after injecting 270 million yuan and 30 million yuan, respectively, into the venture's capital.