Oxis Energy and Minas Gerais Development Company (CODEMGE) have taken possession of a battery plant in Brazil.
The two companies signed a 15-year lease deal with Mercedes Benz Brazil for the plant located at its manufacturing site in Juiz de Fora in the state of Minas Gerais.
Nordika Pharmaceutical will manage the design and engineering of the plant and machinery layout.
Upgrades will start immediately and involve investing over US$50m to have the plant fully digitized and operating by 2023.
Phase 1 will cover 20,000m2 to produce five million lithium sulfur cells per year with the option to expand and double the estate and cell capacity.
Huw Hampson-Jones, CEO of OXIS Energy, said, “Exporting worldwide to a range of markets: aviation, defense, heavy electric vehicles (HEVs), light commercial vehicles and large marine vessels, our aim is to aid the Brazilian government to eliminate all ICE (internal combustion engine) buses over a period of 25 years, equating to the production of over four billion cells.”