FREYR, Nidec to kick off 8-GWh battery rollout under new JV

• Norway's FREYR Battery (NYSE: FREY) as well as Japan-based Nidec Corp (TYO:6594) today officially signed a joint venture (JV) to create, manufacture as well as market battery modules and battery energy storage options as well as products for industrial and utility customers globally.

The downstream entity, referred to as Nidec Energy AS, is expected to generate greater than 8 GWh of battery modules and packs each year from 2027 as well as possibly expand its capacities to get to an annual output of 12 GWh by 2030. Automation is expected to be launched in 2025.

The module production is anticipated to be incorporated into FREYR's 29-GWh Giga Arctic center in Mo i Rana, Norway, where ramp-up of cell manufacturing is scheduled for the first half of 2024.

As agreed in August, the JV will be based in Oslo. Electric electric motors manufacturer Nidec, which additionally has an energy storage space business, will be a majority shareholder with a risk of 66.7%, while FREYR will have the continuing to be 33.3%. The deal catalyses a solid sales contract in between the partners that calls for FREYR to provide 38 GWh of battery cells to Nidec in 2025-2030.

The joint organization was established following tests of sample FREYR cells in an independent third-party lab in behalf of Nidec. The duo's investment prepare for business is to pour over USD 127 million (EUR 121.1 m) by 2030.