Siemens will invest €10 million to offer Northvolt its Digital Enterprise portfolio for its new battery plant, which will then supply Siemens with lithium-ion batteries.
The move is a strategic step by Siemens in a bid to secure battery supply in the future. The company notes that electrification and increased use of batteries is a cornerstone of Europe’s transition to renewable energy, but “With limited current and planned capacity in place, Europe is now facing a major battery deficit within the next few years”.
“We are happy to support Northvolt in building the battery factory of the future. With our Digital Enterprise portfolio, we contribute to a competitive battery cell production in Europe that fully exploits the benefits of software and automation: greater flexibility, efficiency and quality with shorter time to market”, said Jan Mrosik, CEO of Siemens Digital Factory Division.
Once completed in 2020, Siemens intends to purchase batteries from the factory, making Northvolt a preferred supplier.
“Northvolt is driving the battery production to build a battery with very low CO2 footprint. Our Digital Enterprise portfolio will support Northvolt in building a state-of- the-art battery plant. We are excited to go in as a partner in this project”, said Ulf Troedsson, President and CEO of Siemens Nordics.
“The European industry is moving rapidly towards electrification. With its world-class expertise within electrification, automation and digitalization, Siemens will become an important technology partner, supplier and customer to Northvolt in this coming transition. Once we begin large-scale production, our aim is to supply the greenest lithium-ion batteries in the world”, said Peter Carlsson, Co-Founder and CEO, Northvolt.
In another battery-related development, Nemaska Lithium Inc., a corporation from Quebec, Canada, has raised CAD$1.1 billion to fund the construction, commissioning, working capital and reserve funds for a new lithium mine and electrochemical plant in northern Quebec.
Guy Bourassa, President and CEO of Nemaska Lithium said: “With the financial resources in hand, we will build a unique lithium hydroxide and carbonate production facility, in tandem with a spodumene mine, all within the province of Québec. To be vertically integrated, from the mine to the end product, will give Nemaska a cost advantage over industry peers. Today’s lithium ion batteries evolving chemistry demands more and more lithium hydroxide, validating our decision to focus on this growth segment within the lithium market.”