site.btaUPDATED PM: Belgian Company Has Investment Plan of Up to EUR 1.1 Bln for Battery Production in Bulgaria

A Belgian company has an investment intention of up to EUR 1.1 billion for battery production in Bulgaria, Prime Minister Nikolay Denkov said on Tuesday after a meeting in the Council of Ministers with representatives of the potential investor.

"This meeting was to present a new and quite large-scale intention from the Belgian company Avesta Battery & Energy Engineering (ABEE). It is an intention to produce a new generation of solid-phase lithium-ion batteries, which are widely used in the automotive industry and also in other technologies. The total investment intention is up to EUR 1.1 billion over the next three to five years, depending on how the investment is implemented," Denkov said.

Denkov noted that the investment plan contains three separate elements. "One is a research and development base, which is planned to be built in Plovdiv. The second is a lithium-ion battery production plant, which is planned to be in Stara Zagora. I would particularly like to stress that this location is strategic for us. The third component relates to the possibility of extracting metals which can then be reintroduced into the production of the batteries, so we are talking about the so-called circular economy. The three components complement each other," the Prime Minister further said.

Denkov said that about 1,000 Bulgarian workers are to be employed for the implementation of the investment. "The special focus is on Bulgarian researchers and workers in these industries," he stressed. According to the Prime Minister, the implementation of such an investment is of strategic interest for Bulgaria. He assured that no toxic materials will be used in the implementation of this investment, as in the production of some other types of batteries.

ABEE Director Noshin Omar told a press conference at the Council of Ministers that the project is one of the largest battery production projects in Europe and envisages opening plants in Stara Zagora, Plovdiv and Burgas. This is not just an investment, but a commitment to Bulgaria, a manifestation of the opportunity for cooperation between the private and public sectors, Noshin Omar said, adding that Bulgaria is of strategic importance for the company. Bulgaria's participation in the European Battery Alliance is of key relevance, which helped the company make the investment decision, Omar stressed.

He said ABEE will produce high quality output and reduce carbon footprint. He said that as a first stage, a production facility will be set up in Stara Zagora. The Burgas plant will process 50,000 tonnes of batteries per year. It will be the largest plant of its kind in the Balkans, Omar said. The technology will allow the extraction of valuable raw materials from reuse and this is a very important component of the European Commission's vision. We will maintain close contact with the local community by creating employment and training opportunities for our employees, the company representative noted.

He pointed out that ABEE aims to create the largest battery research centre in Europe, which will put Bulgaria on the innovation map. This will increase investment in the battery industry, increasing commitment in this innovative sector, Omar said. He added that the company's investment is not just a business venture but a partnership with the Bulgarian government and people.