Brithishvolt and VKTR sign MoU to secure battery supply chain from Indonesia to construct battery nickel for electric vehicles gigaplant.
Battery manufacturing pioneers, Britishvolt, in collaboration with VKTR, the new division of Bakrie & Brothers’ (BNBR.JK) auto unit, have signed a Memorandum of Understanding (MoU) to partner on the development of sustainable battery nickel for electric vehicles (EVs). Their aim is to develop their sustainable refining capacity in Indonesia, with future plans to construct a battery gigaplant.
The two companies will form a joint venture called Indovolt BR VKTR and will concentrate on securing a sustainable supply of nickel sulphate, which is an essential ingredient in its high performance next-gen battery technologies. It will eventually be produced using renewable energy in line with Britishvolt’s Environmental, Social, and Governance (ESG) goals.
VKTR have been searching to discover a battery technology partner to support the development of localised battery production capabilities around 15GWh via the means of a strategic joint venture.
“VKTR is pleased to have signed the MoU with Britishvolt and is looking forward to collaborating with the battery pioneer to develop a greener battery manufacturing supply chain,” commented Anindya Bakrie, Chairman and Founder of Bakrie Centre Foundation. “The support of VKTR for this partnership is part of the forward-thinking commitment of Bakrie Group, on its 80th anniversary. VKTR will help support the energy transition in Indonesia, in the race to zero.”
Sustainable battery nickel for electric vehicles
Generating lower carbon emissions, transparent supply chains, and securing raw materials, is a key part of Britishvolt’s strategic roadmap, as well as inserting its own ESG commitments with its partners.
As the world transitions away from fossil fuels to a clean energy transition that forefronts renewable energy and low carbon releases, sustainable batteries will be at the very core of this successful switch. Currently there are clear market signals reflecting the need to secure strategic relationships in order to guarantee a supply of key raw materials, such as nickel sulphate.
“The UK is leading the way towards zero emissions, and an essential part of our automotive industry’s transition is ensuring sustainability across the entire supply chain and lifespan of electric vehicles,” commented Minister for Investment, Lord Grimstone.
Nickel supply chain in Indonesia
Indonesia is the world’s largest nickel producing country and is rapidly developing its own electric vehicle industry. This partnership deal will support the country’s 2060 net-zero commitments.
Bakrie & Brothers is a leading industrial company listed on the Indonesia stock exchange. The initial agreement will be followed with a study looking at the potential to develop a battery gigaplant in Indonesia, and potentially other locations. A prime focus of this partnership will be on how to drive embedded carbon out of the supply chain. It is Britishvolt’s aim to get the carbon content of its battery production to 25kg/KWh, from a global average of 93kg/KWh.
“Indonesia has enormous, unprecedented potential that will see global investment flow into the country as it aims to become a world leader on the international battery stage,” explained Orral Nadjari, CEO and Founder of Britishvolt. “I am delighted to be part of Indonesia’s journey to net-zero, and I look forward to seeing the outcome of this partnership with VKTR.”
Indovolt will also look at other countries for potential battery plants. VKTR has been searching for a partner to build a 15-Gigawatt hour (GWh) battery plant with, in Indonesia. The deal comes at a time of surging raw materials prices, exacerbated by the invasion of Ukraine by Russia and the resulting international sanctions..