FREYR and ITOCHU signs initial agreement for supply of safe, cost competitive and environmentally friendly battery cells to accelerate deployment of renewable energy solutions

FREYR AS and ITOCHU Corporation have signed a Memorandum of Understanding (MoU) for joint commercialization of renewable energy solutions and offtake of safe, cost competitive and environmentally friendly lithium-ion battery (LiB) cells manufactured at FREYR’s facilities which are under development in Mo i Rana, Norway.

ITOCHU is one of Japan’s largest companies with an extensive portfolio which includes sales and marketing of LiB material, -production equipment and -applications such as energy storage systems (ESS) and energy management software and services using AI technology. FREYR is the first battery cell company in Europe to sign this type of MoU with ITOCHU.

Under the MoU, the two companies will jointly explore cooperation on LiB production, energy storage solutions (ESS) and other related business opportunities in the European Economic Area (EEA). ITOUCU may purchase battery cells from FREYR’s pilot facility while providing required material and production equipment to FREYR. Subject to cost targets being met, ITOCHU may purchase larger volumes from the modularized and staged fast-track facilities using 24M’s technology which is under development, while FREYR may acquire relevant materials and production equipment from ITOCHU to support these facilities which will produce battery cells using 100% renewable low-cost energy. 

“FREYR is very pleased welcome ITOCHU as a customer of our batteries as well as discussing supplies of materials and production equipment. ITOCHU’s portfolio of LiB products and services, including its market-leading software and AI solutions for domestic ESS systems is of great interest to FREYR. Ensuring stability of energy supply for end-users and a safe user environment are key elements of our offering. With ITOCHU we add another partner in our rapidly expanding ecosystem of world class partners and can move even faster forward towards our ambition of producing the world’s most environmentally friendly and cost competitive batteries,” says Tom Jensen the CEO of FREYR.

The agreement may be expanded into additional countries outside the EEA. FREYR and ITOCHU will also jointly share information on development of new LIB technologies and battery management software.

“As a shareholder of 24M, we are very excited that 24M's innovative semisolid lithium-ion battery technology has been selected by FREYR in environmentally friendly Norway. There is no doubt that the global trend is towards decarbonization, and with the full-scale deployment of EVs and stationary batteries, a stable supply of safe and recyclable lithium-ion batteries will become increasingly important. We are very proud to partner with FREYR and look forward to supporting them through the procurement of innovative semisolid lithium-ion batteries and the supply of battery materials and manufacturing equipment.  We will continue to work towards the establishment of a clean energy society so as to promote the widespread use of 24M technology-based batteries around the world,” says Hiroaki Murase, General Manager, Sustainable Energy Business Department in ITOCHU.

In July of this year, FREYR successfully raised NOK 130 million of pre-construction equity financing for the first lithium-ion battery cell facility in Norway with strong local and regional support. On 15 October this year, FREYR announced an MoU for large industrial scale off take for battery cells in marine and stationary segment with Siemens. Also, in October, FREYR announced an MoU with Elkem carbon AS for long-term supply of high-performance battery materials. In November FREYR announced its framework agreement with 24M Technologies for the in-licensing of a fundamentally improved lithium-ion cell manufacturing process and platform where ITOCHU is an important investor. Multiple other partnerships across the value chain are in the making and will be announced on a running basis.

“FREYR has built a strong international and growing core team with extensive battery cell knowledge and industrial experience. We are systematically developing our eco-system of partners and customers and formalizing these relationships through MoUs for supply of high-quality materials for LiB cells, production equipment, 100% renewable energy, as well as engaging partners within battery research and development,” says Ryuta Kawaguchi, the CTO of FREYR.

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About ITOCHU Corporation

The history of ITOCHU Corporation dates back to 1858 when the Company's founder Chubei Itoh commenced linen trading operations. Since then, ITOCHU has evolved and grown over 150 years. With approximately 100 bases in 62 countries, ITOCHU, one of the leading sogo shosha, is engaging in domestic trading, import/export, and overseas trading of various products such as textile, machinery, metals, minerals, energy, chemicals, food, general products, realty, information and communications technology, and finance, as well as business investment in Japan and overseas. For more information, go to: www.itochu.com.

About FREYR AS

FREYR is a Norwegian company developing, financing, constructing and operating environmentally friendly lithium-ion based battery cell facilities and an adjacent wind-park in Mo i Rana, Northern Norway.  The company is developing an initial pilot plant, a scalable and modularized 2-25 GWh fast-track facility and a 32 GWh giga-factory using best available technology and globally leading partners powered by low-cost, renewable hydro while also developing a 600 MW wind park. FREYR will supply safe, high energy density and cost competitive green battery cells to the rapidly growing markets for electric vehicles, energy storage, marine and aviation applications in Europe and globally. FREYR is committed to supporting cluster-based R&D initiatives and the development of an international ecosystem of scientific, commercial, and financial stakeholders to support the necessary expansion of the battery value chain in our region. For more information, go to freyrbattery.com

Contact details

FREYR AS

Tom Einar Jensen,CEO                                                 tom.jensen@freyrbattery.com
Steffen Føreid, CFO                                                      steffen.foreid@freyrbattery.com
Hilde Rønningsen, Director of Communications           hilde.ronningsen@freyrbattery.com

ITOCHU Corporation

Hiroaki Murase, General Manager                                hiro.murase@itochu.co.jp
Yoji Kawanishi, Manager                                               kawanishi-y@itochu.co.jp

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