British battery cell manufacturer, Britishvolt has signed a Memorandum of Understanding (MoU) with global chemical giant, POSCO Chemical Co. Ltd. to help secure the supply of cathode and anode active battery materials.
The battery cell technology pioneer is currently executing a joint development agreement (JDA) with POSCO to create a framework for long-term cooperation. The supply of cathode and anode active battery secured through this deal will help Britishvolt support its requirements for pilot and volume production of advanced technology battery cells.
"Our MoU with POSCO paves the way to providing Britishvolt with a secure supply of active battery materials as we start to ramp up pilot production prior to switching to volume manufacture of battery cells at our Gigaplant facility in Northumberland, United Kingdom, in the coming years," said Orral Nadjari, Founder and CEO, Britishvolt.
"The MoU also includes the provision for joint materials testing and European Union localization, where practical."
Britishvolt is currently in the midst of building Britain's first-ever giga factory in Northumberland. The large-scale giga factory has already been backed by the UK government with £100 million from its automotive transformation fund, which aims to prevent the car industry and thousands of jobs from moving elsewhere.
Security of supply of key battery materials is critical for Britishvolt's business model which necessitates constant production of low carbon, domestically produced, sustainable battery cells. According to Britishvolt, POSCO's vertical integration strategy, with ownership of mines and processing facilities across the battery sector, ensures end-to-end, stable, supply chain supply, perfectly aligned with Britishvolt's strategy.
"The cooperation between Britishvolt, a pioneering battery cell developer and producer committed to creating environmentally friendly, low carbon, sustainable, lithium-ion batteries, and POSCO Chemical, which has a stable supply chain, will further enhance the competitiveness of both companies," said Min Kyung-zoon, President, POSCO Chemical.
The latest MoU by Britishvolt is said to be the first among a string of new partnerships, as it looks to support its requirements for high volume material supply for pilot and volume production of battery cells.
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