ZJX Chemical has disclosed that its equity-affiliated entity, Jingheng Xidao, is set to ink an investment pact with the Administrative Committee of Quzhou Smart Manufacturing New City. Under this agreement, Jingheng Xidao will set up a wholly-owned subsidiary, earmarking around 1.1 billion yuan for a project aimed at annually churning out 2,220 tons of high-purity quartz materials. The project's execution will unfold in two distinct phases: the inaugural phase will focus on producing 720 tons per annum, necessitating an investment of roughly 333 million yuan, while the specifics of the subsequent phase remain open to further discussions. This strategic investment is geared towards fostering the localization of semiconductor high-purity quartz technology within China and broadening the company's footprint in the semiconductor materials landscape. However, it's important to note that the project is still pending internal scrutiny by Jingheng Xidao and the requisite governmental green light, with inherent uncertainties looming.