Northvolt has plans to establish a lithium-ion battery gigafactory in Quebec, Canada, with an annual production capacity of 60 gigawatt hours.
The site, named Northvolt Six, will be placed on more than 400 acres of land just outside of Montreal. It will include a facility for material manufacturing and another facility for battery recycling, allowing for a fully circular production model.
Further, the gigafactory’s site was chosen for its proximity to hydroelectricity, which will allow for 100% renewable energy-based production. The region is also reportedly ideally placed in the North American automobile value chain.
The first phase of the project will include 30 GWh worth of cathode and cell manufacturing and recycling capabilities, requiring an investment of $5 billion and employing over 3,000 workers.
“We have in Northvolt Six enormous potential, not only to rapidly expand our ability to bring sustainable batteries into markets of North America, but to accelerate Quebec’s emergence as a key actor in the global energy transition,” said Paolo Cerruti, Northvolt co-founder and newly-appointed CEO of Northvolt North America. “With its unique access to renewable power and raw materials, we see this as the ideal base of operations for Northvolt’s first gigafactory outside of Europe. We look forward to engagement with all local stakeholders and the province, to make Northvolt Six a textbook example of sustainable investment.”
Northvolt’s Circular Production Model Creates a More Sustainable EV Industry
Sweden-based Northvolt’s approach to lithium-ion battery production responds to many environmental concerns associated with a transition to EV transportation.
One such concern is how materials for producing lithium-ion batteries are sourced. Raw materials used in lithium-ion batteries must be extracted from the earth, which may result in soil degradation, water shortages, biodiversity loss, and other environmental concerns. Northvolt sources raw materials in accordance with international standards, also incorporating its own standards, allowing for a supply chain that minimizes impact on people and the planet.
Even better for the environment, however, is avoiding further mining and reusing lithium-ion already in circulation. This is where Northvolt’s recycling efforts come into play. The company recycles end-of-life batteries and is able to recover 95% of nickel, manganese, and cobalt in old batteries to be used in new ones. The company also maintains a goal to source half of all raw materials needed for battery cell production from recycled sources by 2030.
Northvolt’s in-house recycling program, Revolt, goal is cost savings by using recycled metals along with the importance of closing the loop on battery production to ensure a sustainable, long-term EV market. Recycling lithium-ion batteries further helps the environment by properly disposing of EV batteries and preventing long-term damages that may be caused when they are sent to landfills.
Finally, Northvolt’s commitment to powering operations with renewable energy helps avoid emissions caused by factory operations involved in battery production.
