An Intel spokesperson declined to comment on the figure in Handelsblatt but was quoted as saying the group was "working very closely with government partners to close the critical cost gap".

The company explains that its new demand, which exceeds the already approved funds of 6.8 billion euros ($7.3 billion), was necessary due to higher energy costs and that it would like to use a more advanced technology in the plant than initially planned, Handelsblatt said.

($1 = 0.9308 euros)

(Reporting by Kirsti Knolle; editing by Matthias Williams)