New EBRD loan for Polish battery factory
The European Bank for Reconstruction and Development (EBRD) offered a long-term loan of EUR 250 million, which will support the build of a giga-factory, located in the Western part of Poland, in the city of Wrocław. LG Chem, one of the world’s leading chemical groups, will build the new factory.
Workers at the new facility will assemble lithium-ion batteries for electric vehicles, which makes this the only fully integrated plant in Europe to produce all the battery components on-site.
Regarding this important financial investment, the EBRD Global Head of Industries, Frederic Lucenet said: ‘We are proud to support this landmark investment, which will lead the green transformation of Europe’s automotive sector.’
Due to the ambitious nature of this build project, estimates show the factory will require total investments of around 2.8 billion EUR, in three stages. The plant is expected to be completed by 2022 and should be able to reach a production capacity of around 65-70 GWh per year. Furthermore, company officials are hoping to supply up to 1 million vehicles each year with advanced batteries.
The factory in Wrocław will provide jobs for 2,700 people, with an additional 1,000 skilled employees expected to join the team by 2022.
In total, EBRD has invested EUR 9.9 billion in Poland, for 420 projects.