Norway’s Hydro says Northvolt no longer financing Hydrovolt
- Hydro says Northvolt no longer financing Hydrovolt JV
- Hydro’s stake in Hydrovolt now at 62%, up from 50%
- Hydrovolt recycles batteries
STOCKHOLM, Oct 31 (Reuters) – Norway’s Hydro (NHY.OL), said on Thursday it is now solely financing the Hydrovolt battery recycler which it set up with joint venture partner Sweden’s Northvolt.
The Norwegian group recently raised its stake in Hydrovolt to 62% from the original 50% when the partnership was established in 2020, a Hydro spokesperson said.
The spokesperson for the Norwegian metals maker told Reuters.
Currently Hydro is the only one financing the operations of Hydrovolt,
A spokesperson for the joint venture Hydrovolt said operations and activity was continuing as planned, in line with the board’s strategy.
Northvolt, once hailed as Europe’s best shot at a home-grown electric-vehicle battery champion, is racing to stay afloat by slimming down and cutting jobs, hobbled by production problems, loss of a major customer contract and a lack of funding.
Northvolt said in an emailed statement,
We remain an active owner, board member and partner in Hydrovolt, and will continue to work with Hydrovolt and Hydro to grow and enhance the business, as we have done since 2020,
On Wednesday, Volvo Cars (VOLCARb.ST), said it was seeking to take over Northvolt’s stake in their Swedish battery-making joint venture NOVO, as Northvolt had stopped contributing funds.
The formation of Hydrovolt was key to Northvolt’s goal of sourcing 50% of raw materials from recycled batteries by 2030, reducing the need for mining, improving security of supply and lowering the environmental footprint, the companies have said.
Northvolt has said it is now focusing on boosting output from its core battery cell-making business, and is working to secure funding.
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Norway’s Hydro says Northvolt no longer financing Hydrovolt, source
