PROJECT 0.3-0.8 GW SODIUM ION BATTERY IN BULGARIA AND BOSNA

JV Proposal — Sodium-ion (Na-ion) Battery Factory, Montana

PHASE 1 & 2

1. Executive Summary

The project entails the construction of a manufacturing plant for Sodium-ion (Na-ion) batteries in Montana, Bulgaria. Currently, Na-ion technology is not commercially produced anywhere in Europe, while demand within the stationary Energy Storage Systems (ESS) sector is experiencing rapid growth. This project offers a unique opportunity for a Chinese strategic investor to enter the European Union market through localized manufacturing and a Joint Venture (JV) framework.

2. Strategic Rationale: Why Na-ion for Europe

Na-ion technology holds strategic importance for the EU due to its independence from critical raw materials (lithium, cobalt), exceptional temperature resilience (–40°C to +70°C), low carbon footprint, and the surging demand for utility-scale ESS. Furthermore, EU Regulation 2023/1542 (EU Battery Regulation) heavily favors technologies with low environmental and supply-chain risks, positioning Na-ion as the most viable sustainable alternative to Li-ion for the European market.

3. Joint Venture Structure (60/40 or 70/30)

• 60% (or 70%) Chinese Partner: Provides technology, manufacturing equipment, engineering expertise, BMS (Battery Management Systems), core cells, and project financing.

• 40% (or 30%) Bulgarian Partner: Provides the industrial site, existing utility infrastructure, local permitting and licensing, local operational management, and access to EU green transition grants.

This corporate model is fully compliant with EU foreign direct investment rules and enables rapid market entry.

5. Site & Technical Specifications

• Location: Montana, Bulgaria

Annual Production Capacity (Phases 1 & 2)

• 1 Shift: 120,000 – 180,000 modules

• 2 Shifts: 240,000 – 300,000 modules

• System Output: 20 – 30 Turnkey ESS Containers (equivalent to 0.4 – 0.6 GWh total system output).

6. Phased Business Model

• Phase 1: Module assembly and PACK integration utilizing imported Chinese Na-ion cells.

• Phase 2: System integration of completed modules into commercial & industrial (C&I) and utility-scale ESS enclosures.

• Phase 3: Full-scale localized manufacturing of Na-ion cells within the EU.

7. Technical Overview (Phases 1 & 2)

Modules (Phase 1)

• Voltage configurations: 48V / 51.2V

• Capacity: 100 – 200 Ah (~5 – 10 kWh)

• Cycle Life: 3,000 – 6,000 cycles

• Round-Trip Efficiency: 92 – 96%

• Cooling: Advanced Air Cooling

• Certifications: Compliant with UN38.3, IEC 62619, CE, and the EU Battery Passport (mandatory 2026–2028 framework).

PACK Integration & Production Line (Phase 2)

• Enclosure Rating: IP54 – IP65 (weatherproof)

• Communication Protocols: CAN / RS485 / Modbus

• Production Line Features: Automated feeding, OCV/IR testing, precision laser welding, high-voltage (HV) testing, End-of-Line (EOL) testing, and fully integrated Manufacturing Execution System (MES).

• Target Markets: Industrial & Commercial ESS, Grid-scale storage, Renewable Energy Source (RES) integration, Telecom backup power, Microgrids, and Off-grid systems.

Comprehensive Integrated Project Financials (Phases 1, 2 & 3 Combined)

• Total Combined Project Target Output: 0.6 GWh/year (expandable to 1.0 – 1.5 GWh)

• Total Integrated Project CAPEX: ~€28.5 Million (combining €1.3M for Phase 1+2 and $29.58M / ~€27.2M for Phase 3 cell manufacturing).

• Total Annual Project Revenue: €65 Million – €80 Million

• Projected Net Profit: €7.8 Million – €14.4 Million per annum (Targeting standard European ESS industry margins of 12–18%).

Bank-Verified Annual Operating Expenses (OPEX Breakdown)

• Raw Materials (Cells & Components): €27.0M – €29.0M

• Labor (Phases 1, 2 & 3 Combined): €3.8M – €4.5M

• Energy & Utilities: €1.2M – €1.5M

• Maintenance & Service: €0.8M – €1.2M

• Logistics & Warehousing: €0.6M – €0.9M

• Total Annual OPEX: €33.0 Million – €37.0 Million

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PHASE 3 — In-EU Na-ion Cell Manufacturing (Deep Dive)

Phase 3 establishes a gigafactory-lite footprint for localized production of a versatile cell portfolio (3.0V / 20–105Ah and 3.0V / 80, 120, 160, 180, 205Ah prismatic cells). The facility will feature the entire automated production sequence: Electrode Slurry Mixing, Coating, Calendering, Slitting, Winding/Stacking, Assembly, Electrolyte Injection, Baking, Formation, Aging, Sorting, and Final Packaging.