Swedish start-up has already secured support from Vattenfall with aim to build 32-GWh factory
Swedish battery manufacturer NorthVolt is moving forwards with its fundraising campaign to support the construction of a 32-GWh battery factory.
In an interview with Bloomberg, CEO Peter Carlsson said the firm was planning to close a funding round in the autumn, potentially securing up to 100 million euros (US$118 million). This would add to the US$14 million the company has already secured, including 5 million kroner from utility and energy developer Vattenfall.
“Coming out of this partnership round and going into a larger financing round next, we see that it will look favourable to the financial market that we have a number of customers that have already shown commitment by investing in us,” Carlsson told the news agency.
Following the autumn capital raising, a further round would seek to raise 1.2-1.4 billion euros.
Total investment for the planned factory is estimated at around 4 billion euros. If the company can break ground on a plant in 2018, it would deliver its first cells in late 2020.
According to the NorthVolt website, cells would be produced with a view to supplying transport, stationary grid storage and industrial applications.
The company has already narrowed its search for a suitable site for the factory to two districts in Sweden. Skellefteå and Västerås were chosen from a shortlist of eight Swedish and two Finnish municipalities in July. The manufacturer will now proceed with applying for permitting in both, with a view to meeting an ambitious delivery schedule.
“We are moving at a very fast pace, which is necessary if we want to take on a leading role in the European market and meet the growing demand for batteries. The possibility for us to achieve a professional and timely environmental assessment is crucial. That is the reason why we will proceed with a parallel consultation process together with two municipalities,” said Carlsson in July.
It’s an ambitious plan, but Carlsson –a former VP-supply chain at Tesla – may have the pedigree to pull it off. He returned Sweden last year to found SGF Energy (later renamed NorthVolt).