Battery Production

The new owners of bankrupt Britishvolt intend to use the Northumberland site to supply batteries to the Australian military. The planned manufacturing facility will not produce batteries for the mass market for now, but it aims to create thousands of jobs in the northeast of England in the near future. Recharge Industries, an Australian company, acquired Britishvolt following its bankruptcy earlier this year. Since then, Recharge has been negotiating with insolvency administrator EY to secure use of the site near Blyth. EY has not yet issued an official statement, but people familiar with the matter say an agreement is imminent. Securing the site marks a crucial initial step in Recharge’s plan to produce batteries for military, heavy commercial, and stationary storage applications. Australian energy company EDEA has also been in talks with Recharge to produce batteries for Australian military vehicles. However, according to BBC reports, members of Northumberland County Council still have doubts about Recharge’s ability to realize the multibillion-dollar facility. If no significant progress is made on-site development by December 2024, the option exists to buy back that site. Britishvolt collapsed in January because its previous owners failed to secure government funding, which Recharge Industries says is not needed. Still, it is Recharge Industries, a start-up with limited battery manufacturing experience. Recharge Industries, the new owner of bankrupt Britishvolt intends to use the Northumberland site to supply batteries to the Australian military. The planned manufacturing facility will not produce batteries for the mass market for the time being, but the aim is to create thousands of jobs in the northeast of England in the near future. Source: https://www.bbc.com/news/business-67149907

Swedish automaker Volvo Cars is cooperating with domestic renewable energy developer Eolus on the Västvind offshore wind power project off the coast of Gothenburg. The aim of the partnership is to supply electricity to the joint battery factory with Northvolt in Gothenburg and Volvo Cars in Hisingen. Offshore wind power is the only energy source that can deliver the required amount of new electricity generation in the region by 2030. Western Sweden’s ambitions to become a center for battery manufacturing, electrified vehicles, and climate-friendly port logistics require a significant increase in regional renewable energy. In this respect, Västvind can be crucial, explains Per Witalisson, CEO of Eolus. Other automakers are also pursuing similar plans. Mercedes-Benz plans to meet a quarter of its German electricity needs from offshore wind energy from 2027 and aims to source 70 percent of its energy needs from renewable sources by 2030. Västra Götaland currently has a shortage of electricity generation, and demand is expected to double by 2030. The Västvind wind power project has the potential to generate 4 to 4.5 terawatt hours of renewable electricity annually, which is equivalent to the current demand of the entire city of Gothenburg. Construction on the project is scheduled to begin in 2027 and be completed by 2029. Eolus has a 95 percent stake in the project, while the Gothenburg Port Authority owns the remaining 5 percent. Source: https://splash247.com/volvo-signs-up-for-offshore-wind-power/

The European Investment Bank (EIB) has announced a 450-million-euro loan investment in AESC’s upcoming gigafactory in Douai, France.

Svolt Energy received an order to supply nearly 90 gigawatt-hours of battery capacity to BMW in Europe, according to local media citing industry sources. The estimated value of this order is approximately $13 billion. These batteries are expected to be used in BMW vehicles starting in 2027 and will be based on Svolt Energy’s short-blade cell technology, which will be introduced in a cell-to-pack (CTP) design. Although neither Svolt Energy nor BMW have officially confirmed the agreement, the order is seen as a strategic step toward achieving the planned battery capacity of 160 gigawatt-hours that BMW is targeting this year. That capacity might not be met by already-confirmed cell partners CATL and Eve Energy alone. CATL and Eve Energy are currently building battery factories in Debrecen, Hungary. BMW is currently building the vehicle plant for the New Class at the same location. Source: https://cnevpost.com/2023/10/12/svolt-energy-gets-order-to-supply-batteries-to-bmw-report/

Stellantis and South Korean cell producer Samsung SDI have announced the location of their second joint battery plant. The joint venture, called StarPlus Energy, will also build a gigafactory in Kokomo, Indiana. The joint venture is already in the process of building a cell manufacturing facility on-site. The second joint battery factory in Indiana is scheduled to open in 2027 and could employ an expected 1,400 people. The two companies will then have a combined annual production capacity of 67 gigawatt-hours at the Indiana production site. Production at the first joint plant is expected to begin in the first quarter of 2025. The announcement comes at a time when Stellantis is dealing with losses due to the nearly four-week strike by the United Auto Workers. The union is demanding that Stellantis, General Motors, and Ford Motor Co. include their joint-venture battery factories for electric vehicles in the union’s framework agreements with automakers. Stellantis and Ford have resisted so far, saying the battery plants are stand-alone businesses that require lower labor costs. GM has already agreed to include its joint venture battery plants in its master contract. Source: https://www.reuters.com/business/autos-transportation/samsung-sdi-stellantis-choose-indiana-second-joint-ev-battery-plant-2023-10-11/

The West Midlands Gigafactory joint venture confirmed talks with several Asian battery manufacturers about future investment in Coventry. This site is the only one in the U.K. with planning permission for cell manufacturing with a capacity of up to 60 gigawatt hours per year, according to West Midlands. During his speech at the Labour Party Conference on Monday, Jim O’Boyle, cabinet member for jobs, regeneration, and climate change at Coventry City Council, shared, “I’m pleased to report that we are now in advanced discussions with leading Asian battery manufacturers who want to develop a presence in the UK. We hope, with the support of the UK Government, that we will secure an investor and further strengthen our region’s leadership credentials in the shift towards electrification.” The site is located in the West Midlands and has good transport infrastructure for logistical requirements, supply chains, and access to up to 6,000 employees. The West Midlands Gigafactory is expected to serve as a catalyst for strengthening high-value skills and research in the region. A comprehensive regional incentive package will be provided to offer favorable tax conditions and access to clean, sustainable energy required for competitive battery production. Source: https://ukgigafactory.com/news/2023/10/10/west-midlands-gigafactory-now-in-advanced-talks-with-leading-asian-battery-manufacturers

Toyota Motor and LG Energy Solution have signed an agreement to supply lithium-ion batteries to be used in the Japanese automaker’s U.S.-built electric vehicles starting in 2025. LG Energy Solution (LGES) will invest $3 billion in its battery plant in Holland, Michigan, to supply Toyota’s Kentucky plant with battery cells from the awarded production lines. LGES will supply Toyota with 20 gigawatt hours of high-nickel NCMA battery cells and modules annually from the Michigan plant. The modules will be assembled into battery packs by Toyota in Georgetown, Kentucky, and installed in new electric vehicles. The agreement with Toyota means LGES will now supply five leading automakers, including Stellantis, Hyundai and Honda, with batteries from its eight jointly owned and operated North American plants. In August 2022, Toyota announced it would triple its investment in a new battery plant in North Carolina, which it will operate with longtime partner Panasonic as part of the Prime Planet Energy & Solutions joint venture, to $3.8 billion. The plant is expected to be operational in 2025. Source: https://www.reuters.com/business/autos-transportation/toyota-lg-energy-sign-battery-supply-agreement-power-evs-2023-10-04/

NOVO Energy, a joint venture between Nortvolt and Volvo Cars, has received approval from the Swedish Land and Environment Court to build its battery gigafactory next to the Volvo Cars plant in Torslanda, Gothenburg. The new battery gigafactory in Gothenburg is expected to have an annual cell production capacity of up to 50-gigawatt hours when completed. Production is scheduled for 2026. Official construction work on site will begin Oct. 1. The city of Gothenburg is already implementing projects related to the gigafactory, which are being coordinated by the Gothenburg Economic Region. Treated wastewater will be used to cool the plant, and two large one-meter diameter pipes are currently being laid to transport water from the regional wastewater treatment plant to the Gigafactory. Gothenburg Energi and Vattenfall are building a power plant north of the site to connect the Gigafactory to the region’s 130 kV power grid. In addition, preparatory work is underway, including connecting the site to the district heating, water, stormwater and wastewater systems. The city of Gothenburg is planning to establish a training center for electromobility and battery production in Lindholmen. Employees, schoolchildren, adults, and vocational students will be trained there in modern learning environments. The city of Gothenburg and the Västra Götaland region are each investing around four million euros in the training center, which will open in the fall of 2024. Source: https://news.cision.com/business-region-goteborg/r/volvo-cars-and-northvolt-break-ground-on-gothenburg-gigafactory,c3844215

Swedish cell producer Northvolt is planning to build its North American cell production plant in Quebec, Canada. According to information from ‘The Globe and Mail’, the project is expected to be realized in Saint-Basile-le-Grand in the Richelieu Valley, and the estimated cost of the factory is around 7 billion US dollars. Québec is striving to establish itself as a leading center for electric vehicle battery development, attracting companies with its environmentally friendly hydroelectric potential as well as financial support from the federal government. Prime Minister François Legault and his cabinet colleagues see these efforts as the beginning of a new industrial revolution. The planned investments are on a scale not seen in the province since Hydro Québec’s major projects in the 1950s and 1960s. Québec bid to locate the plant as Canada seeks to compete with the U.S. cleantech industry, which received a boost last year from incentives under President Biden’s ‘Inflation Reduction Act.’ The Ottawa and provincial governments have allocated billions in public funds to encourage battery manufacturers and suppliers to set up production facilities in Quebec and Ontario Source: https://www.theglobeandmail.com/business/article-swedens-northvolt-picks-quebec-for-new-multi-billion-dollar-ev-battery/

The BMW Group gets the green light to build a high-voltage battery assembly plant in Straßkirchen. In a referendum, over 75 percent of residents favored the project. In the future, this new site will supply the Bavarian vehicle plants in Dingolfing, Regensburg, and Munich with high-voltage batteries for electric vehicles. The next step in the plant’s construction is already scheduled for October. The local urban land use planning department will hold its second public consultation, which will also include numerous expert reports commissioned by the BMW Group on the effects of locating the plant. After completing the first construction phase, the BMW Group plans to employ around 1,600 people at this future production site. Around 70 percent of them will come from existing BMW locations and will contribute their expertise to the development of the new site. In addition, the BMW Group plans to offer around 50 apprenticeships in cooperation with the Dingolfing plant at the planned location. Source: https://www.press.bmwgroup.com/global/article/detail/T0437196EN/yes-to-bmw:-strasskirchen-residents-cast-clear-vote-for-new-high-voltage-battery-assembly-site