- The gigafactory will have a 29 GWh capacity, supported by $1.6 billion in debt financing.
- Construction is sanctioned with production starting in 1H-2024.
- The project includes eight production lines and a battery testing center.
- FREYR aims to reach over 200 GWh annual production capacity by 2030.
Project Overview
FREYR Battery has approved the construction of its first gigafactory, Giga Arctic, in Mo i Rana, Norway. The facility will have an annual nameplate capacity of 29 GWh, supported by $1.6 billion in identified debt financing. The project is catalyzed by the Norwegian National Battery Strategy and financial backing from Norway’s Export Credit Agency Eksfin, which has indicated up to €400 million in guarantees and/or loans.
Financial and Governmental Support
The Norwegian Government has outlined its National Battery Strategy, which includes significant support from Export Finance Norway (Eksfin) to assist with project financing. FREYR has identified total debt financing support of over $1.6 billion, exceeding the estimated total capital cost of $1.7 billion for the expanded Giga Arctic project. This includes anticipated loan guarantees from ECAs of three OECD countries and potential loans from the European Investment Bank and the Nordic Investment Bank.
Production and Capacity
FREYR plans to contract approximately 50% of Giga Arctic’s capacity to long-term offtake partners, with the remaining volumes addressing growing market demand. The facility is expected to be one of the largest and most efficient battery plants in Europe, with 50% lower anticipated capital spending per GWh of capacity and more than 200% higher production per employee compared to conventional Lithium-Ion battery plants.
Future Plans
FREYR is raising its installed annual production capacity target to more than 200 GWh by 2030, doubling its previous ambition. The company has secured a conditional offtake agreement with a major European energy technology customer for 25 GWh of battery cells from 2024 to 2028, in addition to more than 100 GWh of previously announced agreements.
