The company, started by JB Strobel, a former co-founder of Redwood Materials, Tesla, aims to build a round supply chain for batteries, is expanding its business. While it is primarily known as a recycling firm, Redwood is here in the U.S.
To get there, the company is currently looking for a site for a new million-square-foot factory at a cost of more than 1 1 billion. That factory will be dedicated to the production of cathodes and anode foils, two essential building blocks of lithium-ion battery structure સામગ્રી materials up to an estimated volume of 100 gigawatt-hours per year, enough for one million electric vehicles, by 2025.
But not so much. By 2030, the company expects to increase its annual production of battery material to 500 GWh, enough to power 50 million electric vehicles.
These numbers are incredibly ambitious. If Redwood could pull it off, it would squarely place itself in the ranks of the world’s largest materials giants, many of which are located in Asia. BloombergNEF estimates that consolidating the cathode supply chain to the United States and using a certain percentage of recycled materials could reduce emissions from battery pack production by 41%.
Recycling alone will not lead the company to such production numbers, although Redwood also plans to expand its recycling operations. Instead, the company said in a statement that it would produce anodes and cathode from both recycled batteries and “durable mining materials.” For now, the company remains silent on its partners for these new endeavors, but that could potentially mean more announcements of partnerships and expansion in the future.
This is the latest bold move by the company, which has been aggressively expanding its footprint for months. Earlier this summer, Redwood said it would triple the size of its 150,000-square-foot recycling facility in Carson City, Nevada, and it also bought 100 acres of land near Tesla and Panasonic’s Gigafactory in Sparks, Nevada. The news also comes fresh from major investors, including Bill Gates’ Breakthrough Energy Ventures, Amazon’s Climate Pledge Fund, Bailey Gifford and Goldman Sachs Asset Management, in the $ 700 million Series C funding round. Capital valued Redwood at $ 3.7 billion.
The company has recycling deals with Tesla, Amazon, electric bus manufacturer Protera and electric bike manufacturer specialized bicycle components. Redwood says it can recover 95-95% of complex materials from recycled batteries, such as lithium, copper, nickel and cobalt.