On Wednesday, Michigan Governor Gretchen Whitmer joined the Michigan Economic Development Corporation in announcing Michigan Strategic Fund support for a transformational investment by Our Next Energy, a home-grown Michigan company that has chosen to build its first-ever battery manufacturing campus in Van Buren Township in Wayne County. The facility will be one of the few wholly US-owned manufacturers of both LFP and anode-free cells.
“Our Next Energy’s $1.6 billion investment creating 2,112 jobs in Van Buren Township will build on our economic momentum and secure the future of mobility and electrification right here in Michigan,” said Whitmer. “This innovative, Michigan-made company is on the cutting-edge of battery technology, and the work they’re doing will increase the range of electric vehicles to over 600 miles on a single charge. With this new gigafactory, we will continue bringing the supply chain of electric vehicles, chips, and batteries home to Michigan and the USA while creating a sustainable, clean energy economy. I am proud that Democrats and Republicans in Michigan came together to build up our economic development toolkit and empowered our state to compete for every project and every job. We will work with anyone and compete with everyone to keep putting Michiganders first, creating good-paying jobs with great benefits, and building the future of the auto industry right here in Michigan.”
Our Next Energy (ONE) is an energy storage company headquartered in Novi founded with the mission to double the distance electric vehicles can travel using safer, more sustainable materials. Founded in 2020, ONE uses safe, sustainable, low-cost battery chemistries for consumer and commercial electric vehicles, in addition to developing technology for stationary storage – particularly around utility-scale energy storage systems. ONE is dedicated to the long-term vision of achieving vertical integration for American energy storage manufacturing by working to develop a robust and resilient domestic supply chain for critical minerals.
This gigafactory battery cell manufacturing campus, which the company has dubbed ONE Circle, will create 2,112 good-paying jobs and generate $1.6 billion in capital investment. The gigafactory will further have a generational impact in terms of workforce development, economic impact and tax revenue.
The ONE Circle factory will be ONE’s first cell and EV battery pack Gigafactory. ONE is partnering with Ashley Capital to locate this inaugural factory in the Crossroads Distribution Center, where it will establish a state-of-the-art 659,589 square foot facility in Van Buren Charter Township, Wayne County. ONE will use a newly developed cell factory model in this project with an emphasis on developing a North American raw material supply chain and a co-located material refinement strategy. The campus plans to scale to 20 GWh capacity within five years, and will include raw material refinement, cathode materials production, as well as cell and battery manufacturing.
The ONE Circle development will comprise five core components, including:
• Material Refinement: ONE will process battery materials in-house and have more control over our supply chain, prioritizing North American materials and utilizing technologies that will actively seek to minimize environmental impact.
• Cell Manufacturing: ONE will be one of the few wholly US-owned manufacturers of both LFP and anode-free cells, which will directly address exponentially growing market demand.
• Gigafactory-to-Grid: Energy Storage: This approach to production line integrated utility-scale energy storage and energy optimization and will provide utilities with a cost effective, flexible, and high-capacity energy storage solution, while onboarding renewable energy to power ONE Circle and the surrounding community.
• Pack Manufacturing: ONE will manufacture battery packs with key partners for both commercial and consumer applications, that outperform in volumetric density and provide industry leading range
• Recycling & Second Life: ONE will integrate materials from recycled sources back into their products, prioritizing second-life capabilities. These techniques minimize environmental impact and complete ONE Circle’s model of circularity.
Gemini is a novel dual-chemistry architecture that pairs two battery chemistries within one battery pack to enable 600 miles of range. ONE has also demonstrated the pack using a retro-fitted Tesla Model S with a ONE battery pack that drove 752 miles on a single charge. ONE recently signed an agreement with BMW Group to build a prototype vehicle that incorporates ONE’s Gemini Dual-Chemistry battery technology into their BMW iX all-electric Sports Activity Vehicle. The Gemini™ battery platform can provide an EV with enough battery range to drive roundtrip from Detroit to major cities like Chicago, Toronto, Indianapolis, Pittsburgh, Cleveland, Cincinnati, Mackinaw City, Grand Rapids, and Traverse City without another charge.
A significant factor in ONE’s decision to build its very first Gigafactory in Michigan was in part due to the governor’s MI Healthy Climate Plan, which outlines a path to carbon neutrality by 2050 and a specific focus on supporting increased electric vehicle infrastructure access and affordability.
In support of the project, the Michigan Strategic Fund Board on Wednesday approved a total of $236.6 million in state support, including:
• A $200 million Critical Industry Program performance-based grant through the Strategic Outreach and Attraction Reserve (“SOAR”) Fund
• A $15 million Jobs for Michigan Investment Fund Loan
• State Essential Services Assessment Exemption valued at $21.6 million
Michigan was chosen for the project over competing sites in the U.S. and Canada. The project will bring more than 2,000 well-paying, highly skilled engineering, manufacturing, and operations jobs for Michiganders, including those in disadvantaged regions of the state. The company is partnering with Focus:HOPE to develop a training program that will provide skills-based training for its employee base modeled after established certification programs.
This announcement by Our Next Energy builds on additional EV investments and projects, all of which fall within Manufacturing Week in the state of Michigan this week. During Wednesday’s meeting, the MSF Board also took action to support a transformational investment by Gotion to build its first-ever Michigan location in Big Rapids. The Board also approved support for critical infrastructure improvements in Muskegon County to support continued growth opportunities for the region’s robust agribusiness community.
Many local community voices showed support for ONE growth in Michigan.
“Wayne County is the center of the nation’s automotive industry and the development of electric vehicles. This iconic investment in the new battery plant demonstrates why we’re also the preferred location for companies who wish to drive the automotive supply chain of the future.” said Warren C. Evans, Wayne County Executive.
“The Detroit Region continues to serve as the global epicenter for mobility innovation,” said Maureen Donohue Krauss, president and CEO of the Detroit Regional Partnership. “Up and down the supply chain, from startups to mid-size companies to Fortune 500 OEMs, the Detroit Region is home to pioneers like Our Next Energy who continue to push the envelope on cutting-edge battery, EV and advanced mobility technologies. We congratulate ONE on their tremendous growth and applaud all the partners who helped secure this project for our region.”