9 June 2021

Northvolt raises SEK 23 billion in equity to deploy further battery cell capacity

Northvolt has announced the signing of SEK 23 billion in a new financing round to finance further battery cell production capacity and R&D efforts in order to meet the increasing demand of customers. Northvolt’s first gigafactory, Northvolt Ett, in Skellefteå, Sweden, will be expanded from the earlier plan of 40 GWh to 60 GWh of annual production capacity in order to meet the increased demand from key customers. Northvolt has now raised more than $6.5 billion in equity and debt to enable an expansion plan leading up to and beyond 150 GWh of deployed annual production capacity in Europe by 2030. In addition, Northvolt has to date secured in excess of SEK 27 billion worth of contracts from key customers, including BMW, Fluence, Scania and Volkswagen. (press release, Breakit).

Uniper to build a hydrogen hub in Luleå

Uniper Sweden, ABB, and the Port of Luleå plan to establish a hydrogen hub in Luleå. The Swedish Energy Agency has announced that the joint project Bothnia Link H2, has proceeded in the European selection process for state co-financing of national hydrogen investments. Johan Svenningsson, CEO of Uniper Sweden said that this is “A very gratifying message and I have high hopes for the continued process. There is a huge interest in hydrogen in Europe. As fossil-free energy sources become cheaper and the technology for utilization becomes better, the potential for hydrogen increases to become an important part of climate change and the energy system.”

The Bothnia Link H2 and its large-scale electrolysis plant will primarily supply the marine sector with fossil-free hydrogen, where surpluses can, for example, go to northern industrial companies. In addition to hydrogen production, there will be an infrastructure for storage and distribution in the area around Luleå harbor.

The infrastructure opens up for several different system benefits. The hub makes it possible to switch shipping and move freight transport from land to sea. In the long run, Bothnia Link H2 could become the hub for hydrogen as a new Swedish export product. Even the residual heat from production could be channeled via Luleå's district heating network.

Johan Svenningsson added ”Of course, Sweden has been late from the starting pits. But given the good conditions we have for fossil-free hydrogen production, I am convinced that we can quickly catch up. Uniper is a leading hydrogen player in Europe, and we are ready to invest heavily in Sweden if the conditions are right. The Swedish hydrogen strategy that the Swedish Energy Agency will publish later this year will, of course, be of great importance for the continued expansion. There are some important strategic choices that the market needs to clarify, for example in matters of technology, infrastructure, financing and market models.”

Henrik Vuorinen, CEO of the Port of Luleå also commented that “The idea is that we will contribute with fossil-free ship transports for those who will transport the fossil-free steel, that is the basic idea. We know that the mining and steel industry is changing and we know that the car manufacturers are changing. It is on the transport route from the steelworks to the car factory that we want to make it possible to be fossil-free.” (Infrastruktur Nyheter, Industri Nyheter)

Ørsted completes acquisition of Brookfield Renewables onshore wind business in Ireland and the United Kingdom

Following its announcement in April 2021, Ørsted has today completed the acquisition of 100% of the equity in Brookfield Renewables onshore wind business in Ireland and the United Kingdom. Headquartered in Cork, Brookfield Renewable Ireland (BRI) develops, owns and operates onshore wind farms. BRI has a portfolio of 389 MW in operation and under construction, 149 MW at a mature stage of development and projects of more than 1 GW in the development phase in Ireland and the United Kingdom. (Ugebrev)

What we’re reading

• Europe risks falling behind China and US in renewables, warn industry chiefs (Financial Times, paywall)

---

---