NEO Battery Materials Ltd., a Canadian developer of low-cost silicon anode materials for lithium-ion batteries, has signed a definitive lease agreement with the City of Windsor, Ontario. The company will secure 8 acres of surplus land at Windsor Airport to construct Canada’s first advanced silicon anode manufacturing facility. This move is a significant step in enhancing the Canadian battery value chain and supporting the growing demand for electric vehicle (EV) technology.
Located in one of Canada’s principal automotive and battery industry hubs, the new facility will produce 5,000 tons of silicon anodes annually. NEO plans an initial investment of CAD 69 million, with total investments potentially reaching approximately CAD 120 million over the next eight years. This expansion aims to bolster the Windsor facility’s capacity and fund related value-added projects. Once fully operational, the facility is expected to create over 100 skilled jobs.
The establishment of this facility is poised to reduce reliance on imported materials and strengthen the resilience of the battery supply chain in Ontario and across North America. The lease agreement includes tax incentives and favorable terms compared to market rates, reflecting Windsor’s commitment to economic growth and innovation in battery technology. Additionally, the Windsor City Council has approved, in principle, a grant to support NEO Battery Materials’ establishment and operations.
Local leaders have expressed strong support for the project. Drew Dilkens, Mayor of Windsor and Board Chair of Invest WindsorEssex, stated that the announcement underscores Windsor’s strategic location and skilled workforce. He noted that NEO’s investment highlights the city’s ability to attract innovative companies that drive economic development. Joe Goncalves, Vice President of Investment Attraction & Strategic Initiatives at Invest WindsorEssex, welcomed the company, emphasizing the region’s position as a global leader in next-generation vehicle production and battery manufacturing.
Spencer Huh, President and CEO of NEO Battery Materials, described the agreement as a transformative milestone for both the company and the Canadian battery ecosystem. He emphasized NEO’s commitment to addressing the increasing demand for high-performance and cost-effective battery technologies. Tom Schnekenburger, Director of Research Partnerships at the University of Windsor, highlighted the importance of such collaborations in developing a world-class talent pool and advancing research and development in the region.
NEO Battery Materials focuses on developing silicon anode materials for lithium-ion batteries used in electric vehicles, electronics, and energy storage systems. The company aims to become a leading global producer of these materials, contributing to the advancement of the EV and energy storage industries.
Source: NEO Battery Materials Ltd.
Related articles:
- NEO Battery Materials Partners with OCSiAl to Develop High-Specification Silicon Anodes
- NEO Battery Materials Signs Joint Development Agreement with North American Battery Cell Manufacturer
- NEO Battery Materials Unveils Breakthrough Silicon Battery Capacity, Expanding to Space Industry with Solid-State Batteries