Lithium ion battery company KORE Power Inc. said Friday it intends to borrow $850 million from the U.S. Department of Energy to help finance construction of a 1.3 million-square-foot advanced battery cell factory in Buckeye, Ariz.
The "KOREPlex" is expected to produce 6 gigawatt-hours of battery energy per year — enough to power 28,000 electric vehicles and replace 11.8 million gallons of gasoline.
The factory would produce batteries for EVs and energy storage systems. KORE will make two different battery cells at the operation. One will use nickel manganese cobalt and the other will use lithium iron phosphate. The latter does not require the use of cobalt, and as a result, may help reduce reliance on foreign materials and supply chains.
KORE's loan with the program is conditional and has not closed yet, two energy department officials familiar with the discussions told Automotive News. They were not authorized to speak publicly about the pending application.