Forge Battery Finalizes $100M Deal with U.S. Department of Energy for North Carolina Lithium-Ion Gigafactory

Key Takeaways

Forge Battery secures $100 million in non-dilutive funding from the Department of Energy for lithium-ion battery production.
The funding will facilitate the expansion of its North Carolina gigafactory to a capacity of 3 GWh/year.
Construction of the gigafactory expansion is expected to start in early 2025, enhancing the U.S. renewable energy supply chain.

Funding Announcement

Forge Battery, the commercial lithium-ion battery production arm of Forge Nano, Inc., has finalized negotiations for $100 million in non-dilutive funding from the Department of Energy’s Office of Manufacturing and Energy Supply Chains (MESC). The funding agreement was officially completed on January 14, 2025.

The allotted funds will enable Forge Battery to significantly expand its lithium-ion battery production capacity at its gigafactory in North Carolina, increasing output to 3 gigawatt hours per year (GWh/year). This initiative is part of a broader strategy, as Forge Battery is also contributing $140 million, aiming to strengthen the renewable energy supply chain in the United States. The goal is to enhance the domestic production of high-quality lithium-ion cells, supporting U.S. innovations to be powered by locally manufactured resources.

CEO Paul Lichty emphasized the importance of this funding, stating, “Forge Battery is ready to power tomorrow’s most critical battery-powered innovations.” He noted the Department of Energy’s pivotal role in their success, highlighting an expectation that the U.S. will demonstrate its competitiveness in lithium-ion cell performance and manufacturing.

To support immediate production efforts, Forge Battery has commenced cell production through a new manufacturing line in Colorado. This facility will facilitate accelerated production trials and provide cell samples to customers and partners. Initially, the focus will be on producing 21700 cell products; however, the intention is to transition this production to the expanded facility in Morrisville, North Carolina.

Construction on the North Carolina Gigafactory expansion is slated to commence in early 2025, further positioning Forge Battery to meet the growing demand for efficient and safe battery technologies, while also contributing to the overall strength of the U.S. renewable energy sector.

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