Enevate and JR ES Announce Joint Plan to Build a Battery Electrode Manufacturing Facility in the US

Enevate, a U.S.-based, pioneering battery innovation company featuring
extreme fast charge and high energy density battery technologies for
electric vehicles (EVs) and other markets, and Korea’s JR Energy Solution
(JR ES), a leader in the design of high-performance lithium-ion battery
electrodes and cells, announced a joint plan to build a battery cell
electrode manufacturing facility in the United States.

JR ES is a leader in the development and manufacturing of high-performance
lithium-ion battery electrodes with a unique electrode and battery cell
foundry model, enabling lithium-ion cell manufacturers and other partners to
produce tailor-made electrodes and cell solutions. JR ES has announced the
initial groundbreaking for its first production facility in South Korea,
which is planned to start initial production from Q4 of 2023.

Last month, Enevate announced that it had licensed its industry leading
silicon-dominant XFC-EnergyR battery technology to JR ES for future products
and applications. This collaboration will now be expanded to include the
joint construction of a battery cell electrode manufacturing facility in the
U.S. Enevate and JR ES have signed a Letter of Intent (LOI) to work together
on establishing a US manufacturing facility and have begun the process of
identifying potential locations.

The facility will produce tailor-made lithium-ion battery cell electrodes,
including anodes and cathodes, which will accelerate the market penetration
of Enevate’s revolutionary battery fast charge technology for existing and
new Enevate customers. The facility will also provide various electrode
solutions for other customers including, but not limited to, graphite,
silicon, LFP, NMC, NCMA and NCA, for different battery cell form factors
such as pouch or cylindrical cells.

Customers will have the opportunity to develop electrodes and battery cells
utilizing Enevate’s unique silicon-dominant XFC-EnergyR anode battery
technology, which delivers up to 10 times faster charging than conventional
lithium-ion batteries with high energy densities and significantly improved
cold-temperature performance for future applications such as electric
two/three-wheelers or electric vehicles.

Moreover, the battery cell electrode foundry facility will enable customers
to outsource parts of their production; speed up their development process;
or order tailor-made electrodes to qualify their materials or production
equipment, while having the benefit of receiving ultra-high-quality
electrodes produced on state-of-the-art manufacturing equipment at mass
production speed.

Enevate and JR ES are committed to providing commercial-scale domestic
manufacturing capabilities to enable faster adoption of Enevate’s technology
as well as to support sustainability, resilience, and equity in the U.S.
Both companies are strongly focused on eliminating supply chain constraints
to support the global energy industry and specially to assist the world in
meeting its future climate goals.

“This collaboration with JR Energy Solution is great news for the whole
battery industry in the U.S.,” said Enevate CEO Bob Kruse. “It will allow
customers to get access to Enevate’s industry-leading silicon-dominant
battery technology and to tap into JR ES’s knowledge and expertise in
electrode and battery cell manufacturing.

“Moreover, it will enable customers to accelerate their development process
or to outsource parts of their production capacity. I am convinced that this
facility will play a key role in helping the U.S. battery industry to get
even more competitive,” Kruse said.

The two companies said they are currently in the evaluation process for
different potential locations for their joint production facility. The
facility is currently planned to reach up to 6 GWh of annual paired
electrode capacity (6 GWh anode + 6 GWh cathode) in different building
stages.

“This is a huge milestone for JR ES to bring our unique expertise in
electrode development and manufacturing to the U.S.,” said JR Energy
Solution CEO Duke Oh. “It will also allow us to expand our electrode foundry
model to the U.S. and to serve U.S.- based customers even better. We are
thrilled to work together with Enevate as our partner and to have access to
its revolutionary battery technology, which will be a key value proposition
for many customers going forward.”

The ever-increasing demand for battery cell electrode production coupled
with the need for high-speed innovation and development will make this joint
manufacturing facility a very attractive solution for many battery
manufacturers, OEMs, startups or material and equipment suppliers with a
constant need for high quality battery cell electrodes. In addition, having
access to the scaled-up production of Enevate’s fast charge technology will
allow many customers to improve their products and applications going
forward and to advance the U.S. battery industry even further.

ABOUT ENEVATE (www.enevate.com)

Enevate develops and licenses advanced battery technology for electric
vehicles (EVs), with a vision of EVs charging as fast as refueling gas cars,
accessible and affordable to everyone, and accelerating EVs’ mass adoption.
Boasting a portfolio of 643 patents issued and in process, Enevate’s
pioneering advancements (including leveraging accelerated battery testing
and machine learning) in silicon-dominant anodes and cells have resulted in
battery technology that features five-minute extreme fast charging with high
energy density, low-temperature operation for cold climates, low cost and
safety advantages over conventional batteries.

Enevate’s vision is to develop and propagate EV battery technology that
contributes to a clean and sustainable environment. The Irvine,
California-based company’s investors include Renault-Nissan-Mitsubishi
(Alliance Ventures), LG Chem, Samsung Venture Investment Corp, Fidelity
Management & Research Company, Mission Ventures, Draper Fisher Jurvetson,
Tsing Capital, Infinite Potential Technologies, Presidio Ventures – a
Sumitomo Corporation company, Lenovo, CEC Capital, and Bangchak. EnevateR,
the Enevate logo, HD-EnergyR, XFC-EnergyR and eBoostR are registered
trademarks of Enevate Corporation.

ABOUT JR ENERGY SOLUTION (www.jrenergysolution.com)

JR Energy Solution, Inc., a company boasting expertise in manufacturing
battery electrodes (both cathodes & anodes), was established as a designated
electrode foundry in December 2022 by a group of highly experienced battery
professionals.

As electrodes are a key determinant of performance, safety, longevity, and
thus the overall quality of a battery, their production requires high
technical skills with a significant amount of capital expenditures (Capex)
in plants and machinery. Such technical complexities and huge financial
burdens have consequently created a high barrier that is well known as one
of the main characteristics of the electrode manufacturing process.

JR Energy Solution’s vision is to enable various customers to accelerate
their development process and outsource parts of their production capacity
to successfully launch their battery products in the market and to become
the TSMC of the battery industry with its unique foundry business model
including cutting-edge production lines along with highly experienced
production professionals.

JR Energy Solution plans to start initial production from Q4/2023 with
500MWh of annual paired electrode capacity (500 MWh cathode + 500 MWh anode)
and subsequently preparing additional 2GWh of annual paired capacity from
Q1/2025 in South Korea.