AMTE Power gigafactory plan ‘on track’ for 2022
Kevin Brundish: ‘exciting point’
Thurso-based battery developer AMTE Power said it is in talks with the UK government to expand production capacity to gigafactory levels and is on track to confirm plans and select a site in 2022.
A key part of the company’s strategy centres on increasing its existing manufacturing capability to a capacity of approximately 2GWh per annum in the UK.
The company reported a a successful 12 months and said its admission to the Alternative Investment Market (AIM) had raised £12.9m which has accelerated investment in its people and the preparatory work around the gigafactory, first announced in February, resulting in an increase in operating costs.
It expects revenue and total reported losses after tax to be in line with market expectations.
Earlier this year, AMTE Power signed a framework agreement with the publicly funded £130 million UK Battery Industrialisation Centre (“UKBIC”). UKBIC is now coming online and AMTE is one of the first to take advantage of this facility as it begins the scale up of its products.
In June it was selected as the lead in a new Government funded 3 year project called ULTRA focused on bringing two AMTE Power lithium-ion batteries to automotive readiness alongside key industry brands. AMTE Power will receive £2.3m over the next three years as the project progresses.
Alongside UK production expansion the company has continued to develop its relationship with InfraNomics, a leading infrastructure provider, to create a JV that will manufacture battery cells for use in power storage systems with initial plans for 2GWh per annum production levels.
The new venture is expected to operate from the “Lithium Valley” Kwinana Industrial zone in Western Australia.
Kevin Brundish, chief executive, said: “We are at an exciting point in the development of our portfolio of innovative battery cells.
“Most recently, we were chosen by the UK Government’s Advanced Propulsion Centre to lead a new automotive battery cell project involving the close participation of several global car manufacturers who will be road testing our batteries.
“Recent announcements by the major automotive brands on their EV manufacturer plans coupled to the UK government’s clear determination to establish Britain as a global centre for battery manufacture is an ideal backdrop for AMTE Power.
“That said, our focus remains on the development of multiple cells for a variety of specialist markets, not just automotive, all with sufficient scale to make them highly commercially attractive to us.
“We are on track with our development plans as set out at the time of our IPO in March and we look forward to announcing further updates on our progress.”
Daily Business reported earlier this month that a key investor had noted that it had received support from the UK government but the Scottish government had not engaged in talks with the company over its plans.