Motivations of the French to establish the huge Sunlight Group factory

The possibility of producing data in a huge factory Lithium To be done in France is under consideration before Sun light group. As we mentioned on the sidelines of the signing of the new loan agreement for the Sunlight Group with the European Investment Bank (EIB), France is providing generous financial subsidies to the Greek battery company to establish its lithium cell production plant on French territory.

As Sunlight Group CEO Lambros Bissalas said, France is providing support worth 700 million euros. It is known that this factory was originally to be built in Western Macedonia. However, as Sunlight’s president stated, 18-month discussions with the Greek government did not bear fruit. On the contrary, discussions with the French, who seem very interested, have progressed over the past two months. “They offer incentives that are particularly important,” Mr. Pesalas said.

The massive plant to produce lithium cells is an investment of between 1.5 and 2 billion euros, according to a senior Sunlight Group executive. This is estimated to be the first major investment in lithium cell production in Europe. Today, 90% of the production of lithium cells, the elements that make up lithium batteries, is manufactured in China. This happens despite the fact that the latter produces only 10% of the global production of raw lithium. The largest production of lithium as a raw material takes place in Chile and Australia.

According to Mr. Bissala, final decisions on the location of the mega factory have not been made by the company’s shareholders. The main goal of Sunlight’s main shareholder, Panos Germanos, is to build the plant in Greece and the West. Macedonia (in areas of lignin removal). But, as he stressed, he is obligated to provide all alternatives to shareholders.

Sunlight’s main goal is for the company to become a major producer of lithium cells in the Western world, for batteries for off-road vehicles (industrial tools, forklifts, indoor logistics machines, etc.), as well as for energy storage systems. This market is still new and represents only 15% of all lithium battery products.

“The total market is $1 trillion, of which $850 billion is for car batteries. The remaining €150 billion is for everything else,” the Sunlight CEO continued. However, he estimated that over the next five to ten years, the main driver will be For growth is “the rest.” Indeed, Mr. Pesalas pointed to the major undertaking undertaken by Sunlight in Taiwan, which concerns an energy storage complex that will include 400 containers of lithium batteries.

It is noteworthy that the loan of 25 million euros obtained by the Sunlight Group from the European Investment Bank relates to the establishment of a pilot production line for lithium cells in the city of Xanthi. This line, called “Litharaki”, will be developed on an area of ​​10,000 square metres. As Mr. Pesalas mentioned, it will require investments of between 150 and 200 million euros. The project will lead to the pilot production of lithium cells of 400 MWh per year.

The main unit that Sunlight Group wants to develop, the mega-factory, will have an area of ​​200,000 square meters, employ 2,000 people and produce lithium cells with a capacity of 80 gigawatts per hour. As he characteristically said, the final decisions on the location of the plant will not be delayed, and should be made during the first half of 2024 at the latest, with revenues exceeding 1.1 billion euros.