Hong Seng and EoCell plan collaboration on regional manufacturing hub for EV batteries and energy storage solutions
KUALA LUMPUR, 10 June 2022 – Hong Seng Consolidated Berhad (“Hong Seng” or “the Group”) announced today that it has entered into a Memorandum of Understanding (“MoU”) with EoCell Inc. (“EoCell”) to develop a regional manufacturing hub in Malaysia, to manufacture batteries for Electric Vehicles (EV) and progress to energy storage solutions (“ESS”) which will eventually be supplied to EV manufacturers, assemblers and users in the Southeast Asian region (“Project”).
EoCell, based in Silicon Valley, California, is a research and technology company specializing in the design and development of high-energy nano-silicon anode materials and non-flammable electron technologies for advanced silicon and solid-state batteries. EoCell holds a number of patents in battery technology in the United States, is currently in a collaboration arrangement with Morrow Batteries AS in Norway, and in discussions with a number of tier-1 OEM suppliers to the EV industry and other global battery manufacturers.
On the potential tie-up with EoCell, Hong Seng Group Managing Director Dato’ Seri Teoh Hai Hin said: “EoCell is a next generation battery technology company with a world-class team of battery experts. EoCell engineers have been key contributors to design and manufacturing of PHEV and EV batteries for prestigious brands such as BMW, VW, Audi, Porsche, and Daimler. They are truly pioneers in the electrification movement, and we look forward to working with them to design and develop world-class EV batteries to be produced in our factory. As the world enters into the electrification revolution era, the Group has determined that the MoU is expected to provide a timely opportunity to venture into the EV battery and ESS sector. The global energy storage market has a very bright outlook, with a valuation of USD10.37 billion in 2020 and forecasted to reach USD37.06 billion by 2027. This translates into a CAGR of 19.9% between 2022 and 2027, and the batteries segment is expected to account for the largest share in the energy storage market.”
Dato’ Michael Loh, Chief Executive Officer of EoCell said: “We believe Hong Seng is poised to become one of Southeast Asia’s leading battery producers with a focus on sustainable production facilities powered with clean green energy. We are excited to partner with them to develop their first generation best-in-class battery for the EV market and look forward to collaborating on additional projects with them in the future. The Southeast Asian electrification movement is underway, and Hong Seng has a great strategy to fulfill this upcoming demand. We are excited to enter the Southeast Asian market and participate with Hong Seng’s and Malaysia’s clean energy initiatives.”
According to the MoU signed today, the parties have identified Malaysia as a suitable location to scale up the EV battery and ESS sector to serve the Southeast Asian region. The MoU contemplates that Hong Seng’s main duties will include assisting to identify and propose suitable locations for the Project’s site, propose suitable consultants to undertake the necessary studies and liaise with the Malaysian government to obtain incentives and necessary authorisations. Meanwhile, EoCell is expected to provide licenses of battery and manufacturing technology for EV batteries, relevant industry and technology knowledge in relation to the implementation of the Project, and expertise in battery production line design and installation. The MoU is non-binding statement of the parties’ current intentions. Over the next 90 days, subject to the negotiation of a mutually acceptable definitive agreement, the parties intend to enter into a joint venture agreement and set up a new joint venture company.
“The Malaysian Government has earmarked clean energy and electric vehicle industries as one of the growth sectors for the country, and as the nation is striving for a greener world and decarbonization by replacing combustion engine vehicles with Electric Vehicles, the demand for battery will experience an exponential growth.
We are confident that the vision to develop Malaysia into the central of battery technology and manufacturing for Southeast Asia will materialise with the Malaysian government’s strong support, the country’s strategic location in the centre of Southeast Asia, and Malaysia’s neutral political position which will be able to encourage bilateral trades among the countries involved,” added Teoh.
About EoCell, Inc.
Founded in 2015 and based in Silicon Valley’s San Jose, EoCell specializes in high-energy nano-silicon anode materials, innovative electrolyte technologies, and advanced graphite, silicon, and solid-state batteries. EoCell has developed an expert battery team from world-wide battery manufacturers with prior high-scale commercialization experience working with tier-1 automotive OEMs.
Morrow Batteries Teams Up With Eocell to Fast Track its First Generation of Products to The Market
Morrow Batteries teams up with EoCell to fast track its first generation of products to the market.
San Jose, March 10, 2022
Morrow Batteries AS (Morrow) and EoCell, Inc. (EoCell) have entered into Master Development Agreement to commercialize a best-in-class prismatic battery for the automotive industry.
The collaboration is expected to deliver a market-leading battery that can be produced at scales sufficient to meet the high requirements of the world’s leading EV manufacturers.
The agreement leverages EoCell’s deep experience in material and battery technologies, and prismatic cell design, as well as its expertise in production line design and installation.
The Agreement encompasses all phases of product development including material screening, battery design and development, testing and commercialization. The first generation of products are expected to be completed in time for the opening of the first production line in Morrow’s Gigafactory.
Founded in 2020 and based in Arendal, southern Norway, Morrow is in process of establishing its 43 GWh gigafactory, which utilizes renewable hydroelectric power from the region to manufacture batteries with the lowest possible CO2 footprint. The first module of the Gigafactory is expected to be operational at end of 2024.
To accelerate development and qualify its products for key market segments, Morrow is also building an industrialization center. Morrow Industrialization Center will bridge the gap between battery research and high volume manufacturing, supporting the company’s mission to develop cost-effective and sustainable batteries.
Centered around the gigafactory, Morrow and partners are establishing the ‘Battery coast’, a sustainable eco-system built around the battery value chain in southern Norway.
Michael Loh, Chief Executive Officer of EoCell, said:
“What Morrow has been able to accomplish since their founding in 2020 is phenomenal.
“They have built an impressive team and have begun construction of their Pilot Lines and their 43 GWh factory all within such a short and efficient period of time. We believe they are poised to become one of Europe’s largest battery producers with a focus on sustainable production facilities powered with clean green energy.”
“We are excited to partner with them to develop their first generation best-in-class battery for the EV market and look forward to collaborating on additional projects with them in the future. The Europe electrification movement is underway, and Morrow has a great strategy to fulfill this upcoming demand.”
“We are excited to enter the European market and participate with Morrow’s and Norway’s Battery Coast initiatives.”
EoCell is developing high performance engineered silicon graphite anode composite products for the most demanding applications and is one of a few companies worldwide that has been able to successfully produce Silicon Carbon Nanocomposite based materials and batteries.
EoCell has capabilities to do material screening work for cell development, electrode formulation design, and any type of cell design necessary to produce a high-quality battery cell.
Rahul Fotedar, Chief Technology Officer of Morrow Batteries, said:
EoCell is a next generation battery technology company with a world-class team of battery experts.
“Their core teams have been key contributors from design to manufacturing of PHEV and EV batteries of prestigious brands such as BMW, VW, Audi, Porsche, and Daimler.”
“They are truly pioneers in the electrification movement, and we look forward to working with them to design and develop world-class prismatic battery cells to be produced in our factory”.
About EoCell, Inc.
Founded in 2015 and based in Silicon Valley’s San Jose, EoCell specializes in high-energy nano-silicon anode materials, innovative electrolyte technologies, and advanced graphite, silicon, and solid-state batteries.
EoCell has developed an expert battery team from world-wide battery manufacturers with prior high-scale commercialization experience working with tier-1 automotive OEMs.