Redwood Supplies, the battery recycling agency headed by Tesla alum JB Straubel, has obtained conditional dedication for a $2-billion mortgage from the DOE’s Mortgage Program Workplace as a part of the Superior Expertise Autos Manufacturing Mortgage Program (ATVM). Redwood will draw upon this financing in tranches to help the phased development and growth of its battery supplies campus.

As Redwood explains, the 2 most important parts in a battery are the anode and cathode. The cathode comprises lithium, nickel and cobalt, and the anode comprises copper and graphite. These parts, which account for practically 80% of the supplies value of a lithium-ion battery, are presently manufactured fully abroad, predominantly in Asia.

Redwood is dedicated to manufacturing anode and cathode parts within the US, and producing them from an growing quantity of recycled content material. In January, the corporate started producing anode copper foil at its Northern Nevada facility. Part Certainly one of copper foil manufacturing is now full, and Redwood expects to start cathode qualification later this 12 months.

Panasonic would be the first of a number of companions to supply Redwood’s copper foil, which it’s going to use for cell manufacturing at Tesla’s Nevada Gigafactory. Panasonic may even use Redwood’s cathode materials for battery cell manufacturing at its new Kansas plant, which is predicted to return on-line in 2025.

Redwood will use the DOE’s 2 billion massive ones to speed up the development and growth of its battery supplies campus, the place the corporate goals to provide 100 GWh per 12 months of ultra-thin battery-grade copper foil and cathode energetic supplies from each new and recycled feedstocks—sufficient battery supplies to provide greater than one million EVs per 12 months from US-made parts. 

“We now have been working carefully with the Mortgage Packages Workplace for greater than a 12 months, and have undergone an intensive diligence course of that totally reviewed our know-how, our potential to repay the mortgage, product demand, and dozens of different elements to get to this stage,” says Redwood. “Our challenge permits battery and automotive producers to fulfill the brand new stringent important mineral and battery part necessities [of] the Inflation Discount Act. These insurance policies help the localization of the battery provide chain—Redwood’s core mission—and our operations be sure that the American battery trade has the mandatory supplies wanted to efficiently transition the US to a clear power and clear transportation future.”

Supply: Redwood Supplies