London-listed battery maker AMTE Power is set to construct an electric vehicle (EV) battery “megafactory” in the UK, with Dundee selected as the most likely location.
The factory will develop lithium-ion and sodium-ion batteries, which are essential for the manufacturing of EVs. Electric cars are a key component of the UK government’s net-zero target.
The company said the factory will need a significant investment of up to £190m but will create a stepping stone towards building what the company described as “gigafactories” in the future.
“The megafactory will be a platform from which AMTE can harness our advanced in-house capabilities to build manufacturing plants to meet the huge demand for battery cells, allowing us to rapidly scale up production and fast-track the path to achieving net-zero,” said AMTE Power chief executive Kevin Brundish.
“Battery cells are fundamental to enabling the UK’s energy transition and with this investment, we will play a key role in electrifying the vehicles, homes, and industries of the future.”
Hundreds of jobs are expected to be created from the factory, with 215 on-site roles plus hundreds more in the wider supply chain.
AMTE Power is projecting revenue from the site to be around £200m per year once the factory is at full capacity. The current plan predicts the plant will be fully operational in 2025.
Brundish said the Scottish location was an “ideal” choice due to its “local industry knowledge” and its proximity to the company’s “current and future market in energy storage”.
Scottish business minister Ivan McKee responded to AMTE’s decision to build the factory in Dundee, saying: “The Scottish government welcomes the news that AMTE Power has selected Dundee as the preferred site for its first megafactory.”
He added: “Battery technology is critical to many sectors – from transport to industry – in reducing greenhouse gas emissions.”