Freyr Battery has announced it will receive a €122 million grant from the European Union Innovation Fund (EUIF) to support a potential joint venture project for cathode material production in Vaasa, Finland. The initiative aims to develop an industrial-scale Lithium Iron Phosphate (LFP) cathode material plant with an initial capacity of 30,000 tonnes per year.
“We are very grateful to be selected for this grant award from the EU Innovation Fund, demonstrating the EU’s continued support for Freyr’s ongoing industrialization efforts of sustainable battery value chain solutions,” stated Freyr CEO Tom Einar Jensen. “Freyr is focused on its development efforts in the U.S. while we continue to explore avenues to unlock shareholder value from our portfolio of real assets and potential projects in Norway and Europe, such as the proposed CAM facility in Finland. We look forward to collaborating with our colleagues at the EUIF to finalize this grant.”
The grant is a significant milestone toward the project’s realization, with the final award contingent upon meeting various criteria expected to be fulfilled by the first quarter of 2025. Concurrently, Freyr is engaging with technology licensors, partners, customers, and stakeholders to further develop the cathode material project’s foundation.
In 2021, Freyr secured a site in Vaasa, initially contemplating the construction of a battery cell plant. The company has since shifted focus to producing cathode material at the location, a critical component in battery cell manufacturing.
The company has undergone notable changes in recent months. Former CEO Birger Steen stepped down in June after ten months, with co-founder Tom Einar Jensen reassuming the role. Previously, Freyr postponed plans for its Giga Arctic facility in Mo i Rana, Norway, to concentrate on building the Giga America factory in Georgia, USA. This strategic shift included relocating headquarters to the United States, resulting in workforce adjustments.
Source: Electrive
