Britishvolt, a failed battery manufacturer, has been acquired by the Australian company Recharge Industries. .
Britishvolt had intended to construct a £4 billion battery factory close to the Northumberland port of Blyth but gave up last month due to financial difficulties. .
Its failure was attributed to a lack of battery knowledge, tested technology, customers, and revenue. .
A New York-based investment fund by the name of Scale Facilitation owns and operates Recharge Industries.
David Collard, the Australian chief executive of the fund, told the BBC that "what we are bringing is validated technology.".
"The US defense industry has approved it, and a subcontractor has already provided it to the UK navy. ".
Though the brand name Britishvolt will remain with the new owners, their future plans are very different. .
With the goal of having those products on the market by the end of 2025, the company intends to begin by concentrating on batteries for energy storage.
The company then plans to manufacture batteries for fast sports cars. .
It appears that many years will pass before the UK has a much-needed facility that can produce batteries for high-volume automakers. .
But does Mr. Collard comprehend why many in the government and the auto sector are concerned that it won't meet the demands of the UK industry without the participation of significant producers like Ford, GM, JLR, and BMW?
Before they rose to fame, they all had humble beginnings. We are expanding quickly and have had success every step of the way," he said.
There is no doubt that Recharge Industries has lofty goals. In the nearby Melbourne city of Geelong, where Mr. Collard is from, it intends to construct a similar plant. He has invested time building relationships with both the government and the opposition there.
Although he acknowledged he hadn't yet developed the same level of relationships in the UK, he had spoken with the site's owners in Northumberland. .
"Northumberland County Council and I spoke frequently. They truly desire a gigafactory and what is best for their people, he claimed.
Honestly acknowledging that he might not be the best candidate to deliver that, Mr. Collard said. .
"I'm not saying I'm the best person in the world to manage this project, but at the end of the day the administrators had a legal duty to get the best return for creditors - but I do think they care, as individuals, what the future holds," the administrator said. ".
The agreement was reached a day after Michael Gove, the Levelling-Up Secretary, made an announcement of £20,075,000 in funding for the coastal town while visiting Blyth to the Northern Echo. .
The government is prepared to support the right business with the right investment because, according to Mr. Collard, "a gigafactory here in Blyth would be an appropriate way of building on the skills that locals have and actually the edge that this town has already displayed when it comes to renewables and the future of energy.".
More than 200 jobs were lost as a result of Britishvolt's failure, which was seen as a setback for the government's "levelling up" agenda championed by former Prime Minister Boris Johnson. .
In exchange for meeting specific construction milestones, the government had offered the former Britishvolt owners £100 million. .
Despite wanting widespread political support, Mr. Collard said he would gladly accept government funding. "Anyone will accept free money, but ultimately what we need is cross-party support, and we have that in both Australia and the US. ".
The first shovel would not be used on site for six to twelve months, he claimed, despite the fact that the site was "shovel ready.". .
In the end, he hopes that the site will generate up to 8,000 jobs both directly on the site and in the supply chain.
However, this project does not yet appear to be the solution to the UK's urgent need for car batteries, which would be fantastic for the area and the country's economy. .
The only battery manufacturing facility owned by China currently operating in the UK is located close to the Nissan plant in Sunderland.
In the European Union, 35 plants are either in the planning or construction stages.
