NEO Battery Materials Ltd said it has decided to build its pilot plant facility in South Korea.
The technology company told investors that it is scouting three locations within the southeast Asian country for the plant, which will develop its proprietary silicon anode materials.
NEO said it is prioritizing optimal integration into the battery supply chain and proximity with large battery manufacturers for the pilot plant.
READ: NEO Battery Materials sends first silicon anode prototype samples for battery cell evaluation and characterization
South Korea is home to global leaders in battery technology such as LG Energy Solution Co, Samsung SDI, and SK Innovation Co.
Vancouver-based NEO said it also considered Canada as a location for the plant, but ultimately decided on South Korea due to its battery technology and innovation expertise.
According to Spencer Huh, NEO’s CEO, several variables were considered when deciding the location between South Korea and Canada.
“As mentioned, ease of access to the facility by management and third parties, strategic placement for scaling up production, accelerated product development, and various grounds concerning costs were the main points of deliberation,” Huh said in a statement. “Situating NEO in a location filled with a strong network of battery players and experts is the best route to expedite our silicon (Si) anode commercialization process."
The plant will showcase output scalability while producing customized NEO Si anode materials for customers in the battery supply chain.
“Based on current silicon anode prototype sample testing and evaluation, NEO will utilize the results from the counterparties into the pilot plant to determine the detailed design specifications,” NEO’s chief scientific officer Dr JH Park told investors. “We are also aiming to construct a pilot plant that can be readily converted into a commercial-scale facility without significant costs or material changes.”
The group is hoping to accelerate the facility’s construction by shortening the timeline to commercialization, added Suk Joong Hwang, a member of NEO’s scientific advisory board.
“Internally, our team's focus revolves around optimizing the current single-step, one-pot process that delivers consistent and improved performance results for the silicon materials,” Hwang said.
NEO is aiming to become an integrated silicon producer and anode materials supplier to the electric vehicle industry.
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