Sichuan Development Lomon (SHE:002312) and Mianyang Fulin Precision (SHE:300432) will establish a lithium iron phosphate joint venture, according to a Thursday filing with the Shenzhen bourse.

Under a cooperation agreement, Lomon will hold 51% of the JV while Fulin will hold 49%.

Both will invest in a new 100,000-ton-per-year high-pressure dense lithium iron phosphate project in Mianzhu City, China, the filing said.

The two companies will also cooperate in the development of Lomon's existing cathode material business, the filing said.