Asian Tech Press (Apr. 18) -- A LG-led consortium has signed an initial agreement with Indonesia's two state-run companies to push for a $9 billion project, building an electric vehicle battery supply chain in the Southeast Asian country.

The South Korean consortium consisted of three holding companies of LG Corp., including LG Energy Solution Ltd. (LGES), LG Chem Ltd. and LX International Corp.

The consortium on Thursday signed a nonbinding framework agreement with Indonesia mining company PT Aneka Tambang Tbk, known as Antam, and the Indonesia Battery Corporation (IBC).

LGES said the project aims to establish an "end-to-end value chain" for electric vehicle batteries, involving the procurement of raw materials, producing key components such as precursor and cathode materials and the manufacture of battery cells.

Indonesia is the world's largest producer of nickel, a key battery material in terms of reserves and output.