NEO Battery Materials Ltd said a third-party engineering consulting firm has completed its due diligence for the selected semi-commercial facility in South Korea.
The Vancouver-based battery metals and materials company is focused on producing silicon anode materials through its proprietary single-step nanocoating process.
NEO expects to receive a comprehensive report regarding the due diligence assessment in the next week and will use that data to finalize a decision regarding the site.
READ: NEO Battery reveals breakthrough cycling performance on all-solid-state electrolyte batteries with its silicon microparticle anodes
"As we have successfully completed the due diligence with the contracted engineering firm, we are observing the selected South Korean semi-commercial facility with a positive light. After we receive the due diligence report, management, advisors, and the engineering team will internally discuss for the final decision on the facility,” Spencer Huh, president and CEO of NEO, said in the statement.
“The objective of the plant is to validate the mass production ability of NEO's silicon anode active materials and optimize the process customizability for each individual clients' needs."
Earlier this month, the battery materials firm confirmed the engineering firm had performed a series of reviews and assessments concerning the suitability of the property for NEO's operations and the list and schedule of required licenses.
Once complete, the facility will be capable of producing an initial capacity of 120 tons per year, and the space will accommodate up to 5 mass production lines when the semi-commercial scale is converted into a commercial facility.
Additionally, growing demand for the company’s prototype prompted NEO to expand its production capacity.
“To rapidly respond to the increasing demand for NEO's proprietary silicon anode prototype samples by external parties, the company has received two additional equipment to expand the bench-scale sample capacity in the past week,” the company press release read.
Lastly, NEO also disclosed plans for a supplementary research and development lab to be included in the facility, where all equipment that is being received and tested on the bench scale will be migrated.
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