The European Investment Bank (EIB) has approved a loan facility of €52.5m to Swedish company Northvolt to help finance a demonstration battery production facility at Vasteras.
The financing will be supported by the EU Finance for Innovators’ Energy Demonstration Projects (InnovFin) facility and Horizon 2020.
Northvolt expects to start construction of the demo line for lithium-ion batteries in the coming months. The facility will also include a research facility and employ between 300-400 people.
The demo is a step towards setting up large-scale factory in Skelleftea, which will target the production of 32 gigawatt hours of battery capacity a year, the company said.
Northvolt chief executive Peter Carlsson said: “Northvolt’s objective is to build the world’s greenest battery to enable the transition.
“With the support from the European Investment Bank and the European Union, we are now one step closer to establishing a competitive European battery manufacturing value chain.”
Image: Sketch of the lithium-ion battery factory (Northvolt)
EU seals Swedish battery pact
By EBS