SK On plans to supply LFP battery cells for stationary energy storage systems to NeoVolta Power between 2027 and 2031. The two companies have signed a long-term supply agreement covering a total of 9 GWh. The cells are to be produced at an SK On manufacturing facility in the U.S.
Both companies have also agreed on a broader collaboration covering an additional 9 GWh of LFP cells. NeoVolta Power will use these cells to manufacture energy storage packs, which SK On will then purchase. Together, the agreements represent a planned collaboration volume of 18 GWh. Financial details were not disclosed.
LFP Pouch Cells for BESS Applications
SK On is set to become the primary supplier of LFP pouch cells for NeoVolta Power’s corresponding battery energy storage systems. The initial supply agreement runs from 2027 through 2031.
The additional agreement covers the same period. Under this arrangement, NeoVolta Power will manufacture the energy storage packs. The company operates a production facility in Pendergrass, Georgia, designed for higher-volume manufacturing of battery energy storage systems.
SK On Expands Beyond EV Batteries
For SK On, the agreement represents an expansion of its stationary energy storage business in the U.S. The company has so far focused primarily on high-nickel batteries for electric vehicles. In parallel, it plans to expand its LFP cell business for battery energy storage systems, or BESS.
