HPQ Silicon Inc., a leader in green engineering of silica and silicon-based materials, announced on November 24, 2024, the signing of a Memorandum of Understanding (MOU) with a Northern Germany-based company specializing in industrial and chemical manufacturing. This partnership aims to integrate HPQ’s innovative silicon-based anode material technology with the German company's industrial expertise to accelerate manufacturing capacity development.

Key Objectives of the MOU:

1. Production Site and Infrastructure: The German partner will allocate a designated area within its industrial park, offering the necessary infrastructure for the project.

2. Technical Due Diligence and Planning: Collaborative efforts between HPQ, Novacium, and the German company will identify facility requirements and establish a project timeline.

3. Engagement of an EPC Partner: An Engineering, Procurement, and Construction (EPC) partner will assess technical plans, confirm feasibility, and provide cost and timeline estimates for site modifications.

4. Operational Transition: The German partner may manage the facility's operations, supported by the EPC partner to ensure a smooth transition from planning to execution.

Once the planning stages are complete, both parties will negotiate a Definitive Agreement to finalize terms related to site modifications, financial contributions, and operational roles.

“This MOU is a transformative step toward advancing silicon-based anode material production,” said Bernard Tourillon, President and CEO of HPQ Silicon Inc. “Combining HPQ’s cutting-edge technology with the industrial capabilities of our German partner sets the stage for seamless scalability from pilot plant to commercial-scale manufacturing.”

The German company, with over 50 years of industrial and chemical production expertise, operates a fully authorized industrial zone, making it an ideal location for advanced manufacturing. This facility will support the development of HPQ’s silicon-based anode materials, PUREVAP™ QRR high-purity silicon technology, and fumed silica manufacturing.

Strategic Importance for Europe:

Europe’s battery materials demand is projected to exceed 1.8 TWh by 2030, requiring up to 300,000 tonnes of advanced silicon-based anode materials annually. This growth is driven by the EU's decarbonization initiatives, the rise in electric vehicle adoption, and efforts to localize critical supply chains. Establishing a production facility in Germany strengthens regional resilience, ensuring a sustainable and reliable supply of key materials.

“This collaboration leverages our partner’s industrial expertise and fully permitted site to mitigate risks typically associated with scaling production,” added Mr. Tourillon. “As Europe accelerates its battery material demands, this partnership positions us to play a pivotal role in meeting the region's strategic goals.”

The MOU signifies a major milestone for HPQ Silicon, aligning with Europe's ambitions to localize supply chains and advance sustainable manufacturing.