Cabot to Add Capacity for EV Battery Components
To support the transition to electric vehicles, US-based Cabot Corporation plans to add capacity for conductive carbon additives (CCA) at its plant in Pampa, Texas. The company said the $75-90 million investment, which will add 15,000 t/y, is part of a five-year $200 million drive to expand its domestic output of the lithium-ion battery components.
The project, due to be completed by the end of 2025, is expected to create roughly 75 high-quality jobs. Cabot also operates a research and development facility and pilot plant at Pampa that focuses on developing new process technology for batteries and other applications.
As electric vehicles are expected to play a key role in the decarbonization of the economy, the administration of US president Joe Biden is pushing to establish a domestic EV battery supply chain. Here, producers of essential components of lithium-ion battery chemistry such as CCAs can benefit from grants, loans and tax incentives, which Cabot hopes to leverage.
The Boston-based player claims to have the broadest portfolio of CCAs, including conductive carbons, carbon nanotubes (CNT), carbon nanostructures (CNS) and blends of CCAs, to deliver optimal performance. Additionally, Cabot said its global manufacturing assets, technology labs and commercial resources enable it to secure regional support for its customers.
Other investments the company plans to make in its US production over the next five years include expanding its manufacturing and technology footprint to include new CNT powder and dispersion capacity, while also continuing to extend its portfolio of innovative products for battery applications.
Sean Keohane, Cabot’s president and CEO, said the fresh investments should build on the strong momentum the company generated in fiscal year 2022, in which EBITDA in the product line totaled $29 million and represented a year-over-year revenue increase of 74%.
Author: Dede Williams, Freelance Journalist
