Dive Brief:
- Group14 Technologies has started construction of a second factory in Washington state, which will produce silicon battery materials for use in EV batteries, the company announced last week.
- The 1 million-square foot site in Moses Lake, Washington will initially house two modules capable of delivering 2,000 tons of its silicon-carbon anode material a year, according to a release. Production of the blended battery component is slated to begin in 2024.
- The manufacturer tapped two sources for project funding: A $614 series C funding round backed by Porsche AG and the Microsoft Climate Innovation Fund, plus a $100 million grant through the Bipartisan Infrastructure Law.
Dive Insight:
The silicon battery material maker launched operations at its first factory in the state in 2021, with production capacity up to 120 tons yearly. Now, its second factory in Washington will help bolster the supply of materials needed to accelerate EV battery manufacturing.
“Boosting the nation’s global competitiveness in battery manufacturing comes down to strengthening domestic supply chains, which is why we are ramping up our second U.S. factory at the speed in which we need to see innovation scale,” said CEO and co-founder Rick Luebbe in a statement.
Group14 said its blended silicon anode material, a key lithium-ion battery component, can deliver up to 50% more energy density per volume than lithium-ion batteries currently available for EV and consumer electronics.
The company is one of 20 that received grants through the Bipartisan Infrastructure Law, which were designed to bolster the United States' manufacturing of battery components.
Group14 also committed to purchasing over $30 million in U.S. steel for the modules, buildings and equipment, as well as working with domestic suppliers to secure necessary components for its new production facility.
The new factory is expected to be part of a larger six-module campus in Moses Lake, which will draw on hydropower from Washington state for its operations.
