India’s Himadri Speciality Chemical said on Wednesday it would set up a facility to make lithium-ion battery components for an estimated project cost of 48 billion rupees. ($576.12 million).
Lithium-ion batteries, which power electric vehicles (EV) and used to store energy, are expected to play a key role in India’s goal to be a net zero emitter of greenhouse gases by 2070.
The country is expected to see sales of more than 10 million EVs a year by 2030, rising more than ten fold from the last fiscal year, according to a recent annual Economic Survey.
Himadri Speciality was among at least a dozen Indian and foreign companies which participated in the government’s auction this year of some newly found lithium blocks.
The plant would have a capacity of 200,000 million tonnes per annum, the company, which makes specialty chemicals for textile, oil and gas, said in a stock exchange filing.
The project cost would be borne largely from internal accruals and the balance from debt, it added.
Shares of Himadri Speciality Chemical have so far gained nearly three-fold this year.
