NORTHVOLT ETT -LARGE SCALE BATTERY PLANT

Promoter – Financial Intermediary

NORTHVOLT AB

Location

• Sweden

Description

The project concerns the promoter's investments in Skellefteå, Sweden, for the design, construction, commissioning and operation of a lithium-ion (Li-ion) battery cell manufacturing facility with a capacity of 16 GWh. The project is structured into two components, each consisting of a block with a manufacturing capacity of 8GWh. The advanced Li-ion cells to be manufactured at the plant will be used in batteries for transport, stationary storage and industrial and consumer applications.

Objectives

The objective of the project is to offer Europe the prospect of a cost-competitive Li-ion battery cells supply basis, enhancing independence from suppliers outside of the region. It aims to produce the greenest competitively priced li-ion battery cells produced in Europe. The project will seek to be competitive through the use of low-cost renewable electricity, a vertically integrated production process, and potentially locally sourced materials. Sweden is a beneficial location for the Project, for amongst other reasons, very low electricity costs from abundant renewable hydro resources and high-skilled human resources to produce high-quality products.

Sector(s)

• Industry - Manufacturing

Proposed EIB finance (Approximate amount)

EUR 400 million

Total cost (Approximate amount)

EUR 1522 million

Environmental aspects

The project concerns capital investments for the production of lithium-ion electrodes, cells and batteries, falling under the Environmental Impact Assessment (EIA) Directive 2014/52/EU amending the EIA Directive 2011/92/EU. All environmental, health and safety issues including environmental and operational authorisations will be reviewed during the due diligence process.

Procurement

The promoter has been assessed by the EIB as being a private company not being subject to EU rules on public procurement or concessions. However, if after the project appraisal, the EIB were to conclude that the promoter is after all subject to EU public procurement legislation Directive 2014/25/EU or 2004/17/EC, where applicable, then the Bank would require the promoter to ensure that contracts for the implementation of the project will be tendered in accordance with the relevant applicable EU procurement legislation 2014/25/EU or 2004/17/EC, where applicable, as well as Directive 92/13/EEC or Directive 89/665/EEC as interpreted by the Court of Justice of the EU, with publication of tender notices in the EU Official Journal, as and where required.

Status

Under appraisal - 15/06/2018