- BASF's €400 million investment plan includes a new plant in Harjavalta, Finland.
- The plant will start production in late 2020, supplying materials for 300,000 electric vehicles annually.
- The facility will use renewable energy sources like hydro, wind, and biomass.
- A long-term agreement ensures local nickel and cobalt supply from Nornickel.
Investment and Location
BASF has chosen Harjavalta, Finland, as the site for its first European battery materials production plant. This decision is part of BASF’s €400 million multi-step investment plan, which builds on initial production started in Harjavalta in 2018. The plant is scheduled to start operations in late 2020 and will supply materials for approximately 300,000 electric vehicles annually.
Renewable Energy Utilization
The new facility in Harjavalta will leverage locally generated renewable energy sources, including hydro, wind, and biomass. This aligns with BASF’s commitment to sustainable production practices and supports the EU Commission’s agenda for a European battery production value chain.
Supply Agreement
BASF and Nornickel have signed a long-term, market-based supply agreement for nickel and cobalt feedstocks from Nornickel’s metal refinery. This agreement ensures a locally sourced and secure supply of raw materials for battery production in Europe, reinforcing the collaboration between the two companies.
Strategic Importance
The investment in the Harjavalta plant positions BASF to support the rapidly growing electric vehicle market in Europe. The co-location with Nornickel’s refinery provides unparalleled access to local nickel and cobalt supplies, essential for producing high-nickel cathode materials that enhance energy density and vehicle range.
