Stora Enso and Northvolt partner to develop wood-based batteries

Fri, Jul 22, 2022 07:29 CET

STORA ENSO OYJ INVESTOR NEWS RELEASE 22 July 2022 at 08:29 EEST

Stora Enso and Northvolt are joining forces to create sustainable batteries using lignin-based hard carbon produced with renewable wood from the Nordic forests. The aim is to develop the world’s first industrialised battery featuring anode sourced entirely from European raw materials, lowering both the carbon footprint and the cost.

The companies have entered into a Joint Development Agreement to create a sustainable battery featuring anode produced from renewable raw materials sourced sustainably and locally in the Nordic countries.

“The joint battery development with Northvolt marks a step on our journey to serve the fast-growing battery market with renewable anode materials made from trees. Our lignin-based hard carbon, Lignode® by Stora Enso, will secure the strategic European supply of anode raw material, serving the sustainable battery needs for applications from mobility to stationary energy storage,” says Johanna Hagelberg, Executive Vice President for Biomaterials at Stora Enso.

Both companies bring key components, competence, and expertise to the battery partnership. Stora Enso will provide its lignin-based anode material Lignode, originating from sustainably managed forests, while Northvolt will drive cell design, production process development and scale-up of the technology.

“With this partnership, we are exploring a new source of sustainable raw material and expanding the European battery value chain, while also developing a less expensive battery chemistry. It is an exciting demonstration of how our pursuit of a sustainable battery industry goes hand-in-hand with creating a positive impact both on society and cost,” says Emma Nehrenheim, Chief Environmental Officer at Northvolt.

Lignin is a plant-derived polymer found in the cell walls of dry-land plants. Trees are composed of 20–30% of lignin, where it acts as a natural and strong binder. It is one of the biggest renewable sources of carbon anywhere.

Stora Enso’s pilot plant for bio-based carbon materials is located at the Group’s Sunila production site in Finland, where lignin has been industrially produced since 2015. The annual lignin production capacity is 50,000 tonnes, making Stora Enso the largest kraft lignin producer in the world. The Group is also evaluating its first industrial production of Lignode at the Sunila site through a feasibility study.

For further information, please contact:

Carl Norell
Press officer
tel. +46 72 241 0349

Investor enquiries:

Anna-Lena Åström
SVP Investor Relations
Tel. +46 70 210 7691

Northvolt is a European supplier of sustainable, high-quality battery cells and systems. Founded in 2016 to enable the European transition to a decarbonized future, the company has made swift progress on its mission to deliver the world’s greenest lithium-ion battery with a minimal CO2 footprint and has grown to over 3,000 people from over 100 different nationalities. Northvolt has to date secured more than $55 billion worth of contracts from key customers, including BMW, Fluence, Scania, Volkswagen, Volvo Cars and Polestar, to support its plans, which include establishing recycling capabilities to enable 50 percent of all its raw material requirements to be sourced from recycled batteries by 2030.

Part of the global bioeconomy, Stora Enso is a leading provider of renewable products in packaging, biomaterials, wooden construction and paper, and one of the largest private forest owners in the world. We believe that everything that is made from fossil-based materials today can be made from a tree tomorrow. Stora Enso has approximately 22,000 employees and our sales in 2021 were EUR 10.2 billion. Stora Enso shares are listed on Nasdaq Helsinki Oy (STEAV, STERV) and Nasdaq Stockholm AB (STE A, STE R). In addition, the shares are traded in the USA as ADRs (SEOAY). storaenso.com

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