Scotland could be in for a 1,000-job boost from a new high-tech battery plant.
AMTE Power revealed yesterday that it has selected Dundee as the preferred site for its first megafactory in what is seen as a boost to the UK's ambitions to produce homegrown battery cells for a net-zero society.
The new facility would directly create up to 215 high-skilled on-site jobs and 800 more across the supply chain by making high-performance battery cells needed to help electrify vehicles, homes, and industry for the UK's energy transition.
The plant would involve an investment estimated at between £160million and £190million.
Oxfordshire-based AMTE said the site at Dundee's Michelin Scotland Innovation Parc (MSIP) would ensure the business can rapidly scale up to mass-manufacturing volumes.
The megafactory would complement AMTE's existing facility in Thurso, enabling the company to respond to high levels of interest in its cells from customers in the automotive and energy-storage markets and get them to market quicker.
AMTE said it is in discussion with Scottish Enterprise to help bring the development forward.
Perfectly suited
The MSIP site is said to be perfectly suited for a battery megafactory with a highly-skilled, local workforce, onsite renewable energy, commitment from the Scottish Government for net-zero manufacturing and good transport links.
AMTE's plant could be operational and in production by the third quarter of 2025.
The facility would build upon the expertise AMTE Power has gained through its battery-cell operations in Thurso, alongside the work the company is doing with the UK Battery Industrialisation Centre in Coventry and at its technology centre in Oxford.
AMTE has ambitions to use the Dundee site as a template for future factories.
The company explained that megafactories are smaller than gigafactories and can, therefore, be constructed and become operational much faster. They have the additional benefit of being able to use existing infrastructure providing more flexibility in location - requiring less investment and a faster path to profitability.
Kevin Brundish, chief executive of AMTE, said: "We are excited to announce Dundee as the preferred location for our first megafactory.
"Battery cells are fundamental to enabling the UK's energy transition and, with this investment, we will play a key role in electrifying the vehicles, homes and industries of the future. The site at Dundee is the ideal location for a megafactory - it has the local industry knowledge and is close to our current and future customers in energy storage."
Exciting proposal
Councillor John Alexander, leader of Dundee City Council, said: "This is an exciting proposal which has the potential to deliver hundreds of direct and supply chain jobs.
"All partners are committed to delivering on the vision that we had for MSIP following the closure of the tyre factory.
"AMTE's proposed megafactory is a great fit with that vision and would build significantly on the successes that have already been achieved in securing tenants for the Parc.
"We want to be at the forefront of new technologies. We want to have a workforce with the right skills for future needs. And, ultimately, we want to create sustainable employment for local people.
"We look forward to working closely with local and national partners to help progress AMTE's plans - and secure this major investment in Dundee."