FREYR Battery and renewable energy producer Statkraft had signed a deal for the latter to supply of renewable power to FREYR’s battery cell production project in Mo i Rana, Norway.
The Heads of Terms is expected to be finalized as a long-term physical supply agreement, which will cover FREYR’s anticipated electricity needs between 2024 and 2031. During the contract period, Statkraft will provide up to 23 MW baseload with an accumulated delivery of 1.4 TWh to FREYR and the provision of Guarantees of Origin.
It will source the power from Statkraft’s Rana hydropower plant. The plant has a capacity of 500 MW and annual generation of an estimated 2,150 GWh.
“Our ambition is to produce clean battery cells, and a key element of our strategy is to power our operations with renewable energy. This agreement with Statkraft ensures that our production facilities in Mo i Rana will have a steady, long-term supply of hydropower from local sources – keeping our carbon footprint to a minimum as we speed forward to full operations,” said Tove Nilsen Ljungquist, EVP Operations of FREYR.
FREYR has commenced building the first of its planned factories in Mo i Rana, Norway and announced potential development of industrial scale battery cell production in Vaasa, Finland and the United States. FREYR intends to deliver up to 43 GWh of battery cell capacity by 2025 and up to 83 GWh annual capacity by 2028.
