(Credit: CEC)American Lithium Energy Corporation (ALE), a developer of sustainable energy solutions, has received two grants worth a total of $13.2 million from the California Energy Commission (CEC). The funding includes $10.2 million from the Zero-Emissions Transportation Manufacturing program and an expected $3 million from the California Energy Commission Realizing Accelerated Manufacturing and Production (RAMP) in April 2023.
ALE plans to use the funding to expand its US-based manufacturing production capabilities, significantly grow its team in California, and increase the use of US and California-based raw materials and equipment supplies. These efforts will help the company further its mission of developing sustainable energy solutions that promote the widespread adoption of zero-emissions transportation.
For the past 17 years, ALE has been developing and manufacturing high-performance lithium-ion (Li-ion) batteries, including its proprietary nano Si 18650 cell. The cell was originally developed under funding from the U.S. Army to address the limited discharge power and narrow range of operational temperatures for COTS 18650 cells.
Mark Cafferty, President and CEO of the San Diego Regional Economic Development Corporation, said, "As oil shaped the last century, lithium will help shape the next. And as leaders in technology, science, and manufacturing, our bi-national mega-region is uniquely positioned to lead in the clean energy future. To support more innovation, jobs, and companies like ALE, we will need the talent, infrastructure, and backing of our policymakers to do this right."
The CEC RAMP and Zero-Emissions Transportation Manufacturing programs aim to support the growth of lithium battery production and zero-emissions transportation manufacturing throughout California. ALE is also actively engaging in discussions with investors who invest both equity and debt into energy storage solutions to accelerate its mission.
Dr. John Fan, CEO of ALE, said, "We are grateful to the California Energy Commission for these significant and generous grants, which will enable us to increase our production capabilities in the U.S. and continue to drive innovation and adoption across the lithium battery industry. Customer feedback and demand for ALE's proprietary Si 18650 cells have been strong and are growing rapidly, and we believe we are best positioned to usher in a new era of safety and performance across our key markets, including government and defense."
Last month, IMARC Group released "Lithium-ion Battery Market Report: Global Industry Trends, Share, Size, Growth, Opportunity, and Forecast 2023-2028," which reveals that the global market for lithium-ion batteries was valued at $45 billion in 2022. The report predicts that the market will grow at a compound annual growth rate (CAGR) of 13.2% during 2023-2028 and reach $93.3 billion by 2028.
The global market for lithium-ion batteries is largely driven by the increasing demand from the industrial sector. This demand is primarily due to the rising use of these batteries in various industries such as aviation, military, defense, electronics, and automotive. The military sector, for instance, uses lithium-ion batteries for communication systems, unmanned aerial vehicles, and night vision equipment, among others. Lithium-ion batteries are preferred over other battery types due to their high energy density, enabling them to store more energy. This has led to an increase in demand for these batteries on a global scale.
Apart from the industrial sector, lithium-ion batteries are also in high demand for portable electronic devices due to their compactness and long life. These features make them ideal for powering smartphones, laptops, and other portable devices. Additionally, the increasing consumer preference for energy-efficient home appliances such as refrigerators, washing machines, and air conditioners is also boosting the market demand for lithium-ion batteries.
