China's CALB to invest $2.09 billion in EV battery factory in Portugal (updated)

CALB

21/02/2025 16:25

(Adds details from paragraph 3 onward)
       LISBON, Feb 21 (Reuters) - China's CALB, one of the
world's largest battery makers for electric vehicles, said on
Friday it would invest 2 billion euros ($2.09 billion) in a
gigafactory in Portugal that is expected to start production in
2028.
    The factory to be built in Sines, about 100 km (62 miles)
south of Lisbon, will produce lithium batteries with a total
annual capacity of 15 gigawatt hours, which is equivalent to
about 187,000 batteries for EVs, mainly in the European market.
    CALB said its first factory in Europe would create 1,800
direct jobs, expecting it to represent more than 4% of
Portugal's GDP when the plant hits full capacity.
    Along with neighbouring Spain, the country wants to take
advantage of local lithium deposits, aiming to cover the entire
value chain from mining and refining, to cell and battery
manufacturing, and to battery recycling.
        London-based 
    Savannah Resources  SAVS.L  expects
     to start commercial production of lithium at its Barroso
project in northern Portugal in 2027. The Barroso deposit of
spodumene, a lithium-bearing mineral, is the most significant in
Europe, according to the company.
  
        Portugal's plan is in line with Europe's drive to reduce
its dependence on countries such as China for key raw materials
for the green transition.
  

 (Reporting by Sergio Goncalves; editing by Andrey Khalip)
 ((sergio.goncalves@thomsonreuters.com; +351213509204; Reuters
Messaging: sergio.goncalves.reuters.com@reuters.net))