NOVONIX Expands Chattanooga Operations with New Production Facility
NOVONIX Limited has received unanimous approval to build a new production facility in Chattanooga, anticipated to generate significant economic benefits.
Project Overview
NOVONIX Limited has secured the acquisition of a 182-acre site for its second mass production plant, named Enterprise South, at a cost of approximately US$4.6 million. This facility aims to reach full production of 31,500 tonnes of synthetic graphite per year by the end of 2028 and is projected to create 500 full-time jobs. The company will receive an estimated US$54 million in tax incentives over a 15-year period, pending additional approvals from the Chattanooga Industrial Development Board. This expansion aligns with NOVONIX’s strategy to meet increasing customer demand while enhancing its workforce development initiatives, particularly through partnerships with local education institutions like Lookout Valley Middle High School.
Advantages of the New Facility
- Unanimous approval from local government reinforces strong community support and regulatory compliance.
- The expected creation of 500 full-time jobs will boost local employment and stimulate economic growth.
- Estimated US$54 million in tax benefits over 15 years will improve NOVONIX’s financial stability and commitment to the community.
- Plans to elevate production capacity to over 50,000 tonnes per year by 2028 will address rising customer demand and strengthen market share in the battery materials sector.
Challenges Ahead
- Final approval from the Chattanooga Industrial Development Board poses risks that could delay or threaten the acquisition and project timelines.
- Dependence on government funding and assistance, such as the Department of Energy loan and grants, presents potential vulnerabilities if conditions change.
- Future performance may be affected by uncertainties related to scaling operations, meeting customer needs, and fulfilling operational commitments.
Frequently Asked Questions
What is NOVONIX announcing in this press release?
NOVONIX is announcing its approval to purchase land for a new mass production plant in Chattanooga, Tennessee.
How much will the new Enterprise South facility cost?
The acquisition cost for the Enterprise South facility is approximately US$4.6 million.
What production capacity is anticipated at the new facility?
The facility aims to achieve a production capacity of 31,500 tonnes per annum by the end of 2028.
How many jobs is the new facility expected to create?
It is projected that the facility will create 500 full-time jobs in Chattanooga.
What support has NOVONIX received from the Department of Energy?
NOVONIX has a conditional commitment from the Department of Energy for a US$754.8 million direct loan to finance the Enterprise South facility.
Disclaimer: This summary is based on a press release distributed by GlobeNewswire. The AI model summarizing this release may contain inaccuracies. See the full release here.
$NVX Hedge Fund Activity
Recent activity shows that 8 institutional investors have increased their holdings in $NVX, while 11 investors have reduced their positions in the last quarter.
Here are some of the most significant movements:
- GOLDMAN SACHS GROUP INC decreased their portfolio by 163,503 shares (-79.9%) in Q4 2024, totaling approximately $294,305.
- UBS GROUP AG increased their holdings by 124,215 shares (+6257.7%) in Q4 2024, valued at roughly $223,587.
- QUINN OPPORTUNITY PARTNERS LLC added 55,000 shares (+inf%) in Q4 2024, worth about $99,000.
- JANE STREET GROUP, LLC sold 34,495 shares (-100.0%) in Q4 2024, equating to around $62,091.
- HRT FINANCIAL LP removed 34,241 shares (-100.0%) for an estimated $61,633 in Q4 2024.
- CITADEL ADVISORS LLC sold 26,857 shares (-100.0%) in Q3 2024, totaling approximately $49,416.
- JACKSON HOLE CAPITAL PARTNERS, LLC added 25,000 shares (+inf%) in Q4 2024, valued at approximately $45,000.
To monitor hedge funds’ activities and investments, please visit Quiver Quantitative’s institutional holdings dashboard.
Full Release
BRISBANE, Australia, March 13, 2025 (GLOBE NEWSWIRE) — NOVONIX Limited (NASDAQ: NVX, ASX: NVX) (“NOVONIX” or “the Company”) has officially announced receiving unanimous local government approval for the acquisition of a 182-acre parcel of land designated for its second mass production plant, named Enterprise South, at a cost of approximately US$4.6 million. This acquisition is conditional upon certain criteria outlined in the purchase agreement. The Company also expects to gain US$54 million in net tax benefits over 15 years, subject to the fulfillment of various conditions pending final approval from the Chattanooga Industrial Development Board.
To satisfy growing customer demand, NOVONIX aims to launch its new synthetic graphite manufacturing facility in Chattanooga. Enterprise South is anticipated to achieve full production capacity of 31,500 tonnes per annum (“tpa”) by 2028 and is projected to create 500 full-time jobs. Once operational, this plant, alongside NOVONIX’s Riverside facility, which is gearing up for production of 20,000 tpa, is set to increase the company’s total production capacity to over 50,000 tpa by 2028.
Mr. Robert Long, Interim CEO of NOVONIX, expressed that, “We are pleased to announce this next step in our expansion in Chattanooga and deepen our roots in the local community as we continue to grow as a company. We have worked closely with the city, county, and state over the past seven years of operations in Chattanooga. They have been great partners and we, in turn, are proud to strengthen our local hiring and workforce development commitments to the community.”
In addition to the commitments detailed in the Company’s local Payment in Lieu of Taxes (PILOT) agreement, NOVONIX also announced the extension and expansion of its partnership with Lookout Valley Middle High School through the NOVONIX Institute of Advanced Battery Technology (NIABT). The NIABT provides career-focused learning opportunities aimed at equipping students with essential skills for success in the battery industry and other STEM innovation sectors.
In December, the Company announced a conditional commitment from the DOE for a direct loan up to US$754.8 million dedicated to financing NOVONIX Enterprise South.
1
NOVONIX Sets Stage for North America’s Largest Synthetic Graphite Plant
NOVONIX’s Riverside facility in Chattanooga is set to break ground as the first significant production site in North America focused on high-performance synthetic graphite for the battery market. The facility is anticipated to commence commercial production in early 2026, with plans to ramp production to 20,000 tons per annum (tpa) to satisfy existing customer agreements. Previously, the Company announced the receipt of a US$100 million grant from the Department of Energy’s Office of Manufacturing and Energy Supply Chains (MESC)
1, alongside being selected for a US$103 million investment tax credit
2 to help fund the Riverside facility. Furthermore, NOVONIX has secured binding offtake agreements with notable partners including Panasonic Energy
3, Stellantis
4, and PowerCo
5, committing its entire production capacity at the facility and indicating the necessity for expanded operations at Enterprise South.
This update has been authorized for release by Admiral Robert J Natter, USN Ret., Chairman.
About NOVONIX
NOVONIX is positioned as a leading force in the battery technology sector, transforming the global lithium-ion battery landscape through innovative, sustainable technologies and efficient production methods. The Company is known for creating industry-leading battery cell testing equipment, advancing high-performance synthetic graphite material production, and developing a patented all-dry, zero-waste cathode synthesis process. With robust research and development capabilities, proprietary technologies, and strategic partnerships, NOVONIX has established a significant presence in the electric vehicle and energy storage battery markets, contributing to a cleaner energy future.
For more information, visit us at
www.novonixgroup.com
or follow us on
LinkedIn
and
X
.
Investor and Media Contacts
For NOVONIX Limited
Scott Espenshade,
[email protected]
(investors)
Stephanie Reid,
[email protected]
(media)
Cautionary Note Regarding Forward-Looking Statements
This communication includes forward-looking statements regarding NOVONIX and the broader industry landscape. Such statements can typically be recognized by words like “anticipate,” “estimate,” “expect,” and similar expressions. Specific forward-looking statements in this communication refer to anticipated production capacity at the Riverside facility, the establishment of the Enterprise South facility, and potential financing efforts for that facility.
These forward-looking statements are based on current expectations and projections regarding future trends that could affect our finances and operations. However, they are subject to risks and uncertainties that may cause actual results to differ significantly from those predicted. Factors influencing our business include deployment and scaling of technology, meeting customer specifications, accuracy of market size estimates, compliance with government support requirements, and regulatory changes.
For additional details, readers can consult our filings with the U.S. Securities and Exchange Commission (SEC), including our latest annual report
on Form 20-F.
Copies of these filings are available on our Investor Relations website at
www.novonixgroup.com
or the SEC’s website at
www.sec.gov.
While forward-looking statements indicate future performance, actual outcomes may vary from those suggested. These statements are based solely on information available at the time they were made, and NOVONIX does not commit to updating them unless required by law.
References:
1
NOVONIX Offered Conditional Commitment for US$754 Million Loan from the U.S. Department of Energy for New Synthetic Graphite Manufacturing Plant in Tennessee – NOVONIX
2
NOVONIX Finalizes US$100 Million Grant Award from U.S. Department of Energy – NOVONIX
3
U.S. Government Selects NOVONIX to Receive US$103 Million in Qualifying Advanced Energy Project Tax Credits – NOVONIX
4
Panasonic Energy and NOVONIX Sign Binding Off-Take Agreement – NOVONIX
5
NOVONIX and Stellantis Sign Binding Offtake Agreement – NOVONIX
6
NOVONIX and PowerCo SE Sign Binding Offtake Agreement – NOVONIX
This article was originally published on Quiver News. Read the full story.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
