FREYR Announces Joint Venture with Koch Strategic Platforms to Advance Development of Clean Battery Cell Manufacturing in the United States
October 12, 2021 at 06:21 am EDT
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FREYR Battery announced the formation of a joint venture (“JV”) in the United States between Koch Strategic Platforms (“KSP”) and FREYR. The JV, which has a 50%/50% ownership structure, has been established to develop an initial 50 GWh of Gigafactory-scale battery cell manufacturing capacity in the U.S. based on 24M Technologies (“24M”) SemiSolid™ platform technology. The scale and scope of the targeted development would position the JV as one of the largest battery cell manufacturers in the U.S., using American-borne technology and the sustainable innovation of a premier U.S.-based, global industrial partner in KSP. This venture further progresses FREYR’s strategic focus of developing clean, localized battery cell production and supply chains to catalyze emerging energy technology adoption. In conjunction with the agreement, KSP and FREYR have invested $70 million in convertible promissory notes with 24M, under which KSP and FREYR will initially invest $50 million and $20 million, respectively. Upon closing of the convertible note financing, the JV entered into a new licensing agreement with 24M that will enable the JV to deploy 24M’s SemiSolid™ platform technology with conditional limited exclusivity in the U.S. The JV will leverage 24M’s SemiSolid™ technology, which dramatically reduces the number of steps required to manufacture battery cells while still using conventional lithium-ion raw materials. The SemiSolid™ production platform enables capital and operating cost savings as well as expanded opportunities to recycle materials. Using the 24M technology platform, the JV will have the flexibility to provide next-generation batteries of various sizes and chemistries at commercial scale. Today’s announcement follows FREYR’s release on June 11, 2021, which outlined the Company’s negotiations with a major multinational conglomerate to develop battery production facilities in North America; and KSP’s prior investment in the business combination transaction between FREYR AS and Alussa Energy Acquisition Corp. completed on July 9, 2021.
FREYR Battery, Inc. is a developer of clean, battery cell production capacity. The Company seeks to serve its primary markets of energy storage systems (ESS) and commercial mobility, including marine applications and commercial vehicles. Its facilities are located at Mo i Rana industrial complex in Northern Norway. It is engaged in the development of its first clean battery cell manufacturing project in the United States (Giga America), which is located on a 368-acre parcel of land in Coweta County, Georgia. The Company's products consist of ESS, eMobility, and Electric Vehicle (EV). Its industrialized 24M semi solid technology, allows the Company to offer cell for ESS applications while surpassing or matching industry standard in cycle life, DoD, RTE, and LCOS.