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- Solid Power to supply Korean cell manufacturer with electrolytes, manufacturing equipment, and R&D licensing
Solid Power to supply Korean cell manufacturer with electrolytes, manufacturing equipment, and R&D licensing
Solid Power, a developer of solid-state battery technology, has announced an expanded partnership with SK On, a cell manufacturer in Korea.
The partnership includes three new agreements: a research and development license, a line installation arrangement, and an electrolyte supply agreement. Solid Power expects to receive at least $50 million in revenue from these combined agreements.
Under the research and development license, SK On will license Solid Power’s solid-state cell designs and manufacturing processes in exchange for payments totaling $20 million from 2024 to 2027, upon achievement of milestones. The license limits SK On to research and development activities and may not be used for commercial cell production.
The line installation arrangement provides that Solid Power will design, procure, and install a new cell manufacturing line at one of SK On’s Korean facilities in exchange for an estimated $22 million, upon achievement of milestones. The new line will be modeled after Solid Power’s Colorado-based EV line and will produce EV-scale cells utilizing Solid Power’s solid-state electrolyte technology. Construction of the line will begin in 2024 and is expected to be completed in 2025.
SK On has also agreed to purchase Solid Power’s electrolyte for use on their new line in Korea through Solid Power’s first-of-its-kind electrolyte supply agreement. After a validation phase, SK On is required to purchase at least eight metric tons of electrolyte from Solid Power through 2030, which it will use to collaborate with Solid Power in advancing its cell technologies.