The European Investment Bank (EIB) has announced its financing commitment for Northvolt’s battery gigafactory in Sweden is estimated to be €350 million (£306m).
The giant lithium-ion battery facility will be established in Skellefteå in northern Sweden, which is home to a prominent raw material and mining cluster which has a long history of process manufacturing and recycling.
The gigafactory – in which Siemens is investing €10 million (£8.7m) – is to use 100% renewable energy within its production processes and once completed, it will produce 32GWh worth of battery capacity annually.
Northvolt Co-founder and CEO Peter Carlsson said the latest capital raise takes the company one step closer towards building the “greenest batteries in the world” and enabling the European transition to a decarbonised future.
The construction of the first quarter of the factory will be completed in 2020.
Maroš Šefčovič, European Commission Vice-President for the Energy Union, added: “I welcome the significant support proposed by the EIB to Northvolt gigafactory as a stepping-stone towards building a competitive, sustainable and innovative value chain, with battery cells manufactured at scale, here, in Europe. Our two institutions are working closely with the industry and key Member States to put the EU on a firm path towards global leadership in this rapidly expanding sector.”
The UK Government yesterday pledged an additional £28 million for an electric vehicle battery centre in Coventry as it pushes for the UK to establish an industry leading factory.
Technologies for energy users that can help them reduce costs and emissions, including AI, will be among those on display at The Energy Solutions Show (TESS) on June 5th at Millennium Point, Birmingham.