The construction of KORE Power’s electric vehicle (EV) battery factory in Buckeye, Arizona, has been fast-tracked thanks to an $850 million loan from the US Department of Energy (DOE). The funds will be allocated to the development of KOREPlex, the company’s battery cell manufacturing facility. While private financing, including an initial $75 million investment from Siemens Financial Services and Quanta Services, had already been secured for the factory, the injection from the DOE will accelerate the buildout process.
KOREPlex, spanning an impressive 1.33 million square feet, will house multiple production lines dedicated to manufacturing batteries for EVs and battery storage systems within the United States. The facility will specialize in the production of nickel manganese cobalt (NMC) and lithium-ion iron phosphate (LFP) battery cells.
Having commenced civil works in late 2022, the construction of KOREPlex is projected to generate 1,250 direct job opportunities at full operational capacity. To ensure a skilled workforce, KORE is collaborating with colleges and universities in Arizona to establish job training programs tailored to these positions.
Once operational, KOREPlex will boast an annual production capacity of 6 gigawatt-hours (GWh) of EV and energy storage battery cells. Moreover, the facility is equipped to expand its annual domestic production as per the demand for lithium-ion batteries.
Batteries are expected to be delivered by the end of 2024 or early 2025, marking a significant milestone for KORE Power. Jay Bellows, the President of KORE Power, expressed his enthusiasm, stating, “Americans want the pride of driving electric vehicles powered by US-made batteries. Manufacturers want confidence that their supply will be available and delivered on time. Today’s news brings us another big step closer to that becoming a reality.”
The conditional funds were awarded by the DOE’s Loan Programs Office through the Advanced Technology Vehicles Manufacturing (ATVM) Loan program. This support reflects the government’s commitment to promoting the development of advanced technologies in the automotive sector. With the financial backing from the DOE, KORE Power’s EV battery factory in Arizona is poised to make a substantial contribution to the growing demand for electric vehicles and energy storage systems in the United States.
