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FREYR, Siemens Energy Sign MOU for ‘Environmentally-friendly’ Battery Cells
October 16, 2020 | FREYREstimated reading time: 2 minutes
FREYR AS and Siemens Energy AS have entered into a Memorandum of Understanding (MoU) for deliveries of lithium-ion (LiB) battery cells for marine and energy storage systems (ESS), manufactured with 100% renewable energy at FREYR's battery system under development in Mo i Rana.
According to the agreement, Siemens Energy AS intends to purchase a significant share of the production volume from a planned accelerated battery production line with scheduled start-up in late 2021/ early 2022. Deliveries and production capacity will have a significant increase at FREYR's first fast-track battery cell system, which is under development with the planned start-up in late 2022/ early 2023 with relevant certifications and approval processes. In addition, Siemens Energy AS and FREYR AS intend to together develop world-leading ESS solutions based on FREYR battery cells.
"This is another important step in the commercialisation of FREYR and Norway's first battery cell production plant with a global leader in electrification, automation and digitisation. We are dedicated to expanding our strong relationship with Siemens Energy AS and providing safer, more cost-effective and environmentally friendly battery cells to support Siemens Energy AS's ambitious plans for growth in marine applications. In addition, the ESS market is the fastest growing segment for batteries globally, and we look forward to developing world-leading ESS systems together with the Siemens Group. Batteries have a catalytic role to play in accelerating the necessary transition to a sustainable energy system based on renewable sources and to balance access to clean energy," says Ceo Tom Einar Jensen of FREYR.
"We see great potential in this collaboration. FREYR's battery solutions can enable us to increase our growth in the marine electrification market that will reduce our carbon footprint. We also look forward to working with FREYR to take a broader position in the generation of renewable energy and develop new cutting-edge cost-effective ESS solutions," says Bjørn Einar Brath, CEO of Siemens Energy AS.
The agreement is based on a collaboration to develop optimized cell, module and system designs for the production of battery cells with higher energy density, improved security and significantly lower cost than is possible with conventional battery cell technology. According to the agreement, FREYR commits to supplying battery cells at more competitive prices than current conventional battery manufacturers can offer.
"We are increasingly seeing the potential of implementing the best available battery cell technology and are in the process of completing our choice of technology partners, which we will soon announce. We expect to be able to deliver technology-leading battery cells at competitive prices for all market segments. Our extended relationship
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