FREYR Battery Secures 28.5 GWh Offtake Agreement with Powin

FREYR Battery (NYSE: FREY) (“FREYR”), a developer of clean, next-generation battery cell production capacity, and Powin LLC (“Powin”), a global leader in the design, manufacturing, and integration of safe and scalable battery energy storage solutions, have signed a conditional agreement for Powin to offtake battery cells produced by FREYR for energy storage system applications, subject to the terms and conditions of the agreement.

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Highlights

  • FREYR to deliver 28.5 GWh of battery cells to Powin from 2024 through 2030. The cells will originally be supplied from FREYR’s combined Gigafactory 1 & 2 in Mo i Rana, Norway, and will subsequently be produced at FREYR’s planned future U.S. Gigafactory.
  • FREYR to manufacture and deliver market leading cost-competitive made-in-USA lithium-ion battery cells with a low CO2 footprint, to be integrated by Powin into battery energy storage solutions for the North American market and beyond.
  • Today’s agreement is another important commercial milestone for FREYR on the path to establishing giga-scale manufacturing capacity in Norway, the US and Finland backed by conditional customer offtake agreements. The conditional offtake agreement with Powin brings FREYR’s cumulative offtake volumes to 78.8 GWh, representing more than 67% of the projected nameplate capacity of FREYR’s planned combined Gigafactory 1 & 2 at Mo i Rana and more than 90% of targeted production under current ramp-up and operational efficiency assumptions.

“We are delighted to announce today’s agreement and our new commercial relationship with Powin,” said Tom Jensen, FREYR’s Chief Executive Officer. “FREYR aspires to partner with industry innovators such as Powin to accelerate the transition to clean, reliable energy solutions. Our team is looking forward to deep collaboration with the talented people at Powin to deliver decarbonized, next-generation battery storage products that will ultimately be made in the US.”

Geoff Brown, CEO of Powin, said, “Our ability to manage every step of our supply chain from battery sourcing to the onsite installation, means we can backstop our commitments to customers. Our landmark agreement with FREYR to source 28.5 GWh of battery energy storage cells underscores our commitment to diversify and secure our supply chain for our customers. We are particularly excited to support FREYR’s plans to open a Gigafactory in the US and their efforts to source raw materials locally to their facilities to ensure the lowest possible carbon footprint.”