BERLIN, Oct 11 (Businesshala) – Canada’s Rock Tech Lithium (RCK.V) plans to build a converter plant in the German state of Brandenburg, around Berlin, to produce batteries for electric vehicles, the state’s energy ministry and the company- grade lithium hydroxide to be made. said on Monday.
The plant will be in the city of Guben, about a 90-minute drive from where Tesla (TSLA.O) is building its Gigafactory, which includes a battery cell manufacturing site with a capacity of 50 gigawatt-hours.
State Energy Minister Georg Steinbach said the decision reaffirmed Brandenburg’s position as a center for the development of electric mobility.
In a separate statement, Rock Tech Lithium said the total investment for the site was up to 470 million euros ($544 million) and that annual production would be 24,000 metric tons of lithium hydroxide, which would be used to supply 500,000 cars with lithium-ion batteries. will be sufficient.
The converter is scheduled to start operations in 2024, it said.
“In the future, Brandenburg will be home to the entire value chain, from raw material processing to battery and cell production to e-car manufacturing and battery recycling,” Steinbach said.
Several carmakers and battery cell players, including Volkswagen (VOWG_p.DE) and China’s CATL (300750.SZ), as well as Tesla, are expanding production capacity in Europe’s top economy as they roll out the expected mass of electric vehicles. There are banks on the -out.
“We are becoming the automotive industry’s lithium partner and building our own, already existing infrastructure for battery-grade lithium hydroxide in Europe,” said Rock Tech Lithium CEO Dirk Habeck in a statement.
“We aim to be the first company in the world to create a closed loop for lithium. Guben seems to us to be the ideal location for this, with subsidies also playing an important role,” he added.
($1 = 0.8645 Euro)