South Korean battery company LG Energy Solution (LGES) has signed a supply agreement for NCM lithium-ion battery modules with Impact Clean Power Technology (ICPT), a supplier of heavy-duty battery systems for public transportation.
Under the agreement announced by the two companies, LGES will deliver ~200,000 battery modules to ICPT over the next three years. The modules will be manufactured at LGES's Wroclaw, Poland, factory and be supplied to ICPT's GigafactoryX in Pruszkow, also in Poland, where they will be assembled into battery packs and systems.
The companies said the supplied batteries will support nearly 3,000 large commercial electric vehicles.
In a release, the companies said the partnership signified "concerted efforts" of both companies to drive forward electrification of European mobility, while also helping them solidify their technological capability in the commercial e-vehicles sector: batteries for e-buses must withstand a much higher energy flow, up to around 11 times higher than passenger cars.
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Seungtaek Hong, head of Advanced Automotive Battery OTS Marketing Department at LGES, said in a statement: "Capitalizing on our Wroclaw plant, which is the biggest battery manufacturing facility in Europe, we are committed to establishing a robust supply chain in Europe and expediting its transition to sustainable mobility."
LGES's Wroclaw plant is Europe's largest producer of lithium-ion batteries for the automotive industry. The plant has a capacity is 70 GWh and manufactures all battery components until they are ready for vehicle installation.
Bartek Kras, Vice President of ICPT, said: "Our partnership with LG Energy Solution will strengthen our leading battery offering in the bus market. Together, we can provide our customers with exceptional, advanced solutions tailored to the demanding conditions of this market."
"Considering the strong global demand, this is a significant added value for this sector. This way, we can offer both our current and new customers the highest quality and guaranteed supply assurance," he added.
ICPT manufactures battery systems for transportation, industry and stationary energy storage for RES, traditional power generation, rail and telecommunications.
Besides Poland, the company caters to Europe, Australia, New Zealand and the US markets, for clientele that includes Skoda, Siemens, Solaris Bus & Coach, Autosan and others.
The company says it has supplied over 20,000 systems so far, and vehicles fitted with ICPT batteries have traveled more than 150 million kilometers globally.