Think Global Selects EnerDel as Supplier of Choice for Prismatic Li-Ion Batteries for Th!nk City EVs
15 October 2007
Think Global has selected EnerDel as the supplier of choice for prismatic large format Li-ion batteries that will be used to power its Th!nk City electric vehicle.
EnerDel will use its experience in battery management system integration that has already been implemented in the recently unveiled HEV product. EnerDel’s Li-ion solution for the electric vehicle drive train is designed to have higher energy density than HEV cells and to enable vehicles to run up to a goal of 100 miles (160 kilometers) without recharging.
Under the supply agreement, EnerDel must deliver production prototypes in March 2008 and pre-production parts in July 2008, with a value of approximately $1.4 million. Once these milestones are met to the satisfaction of Think Global, production orders under the contract are expected to result in EnerDel battery sales of $70 million over the two-year period ending in 2010. Under Think’s growth plan, the total value of the contract could eventually exceed $200 million.
In May, Tesla Energy Group, a newly-formed division of Tesla Motors, had also announced an agreement to supply Think Global with lithium-ion battery packs (derived from Tesla’s battery pack design for the Tesla Roadster) for the Th!nk City cars. That supply agreement covered the development and delivery of battery packs starting in December 2007 and continuing through 2008. (Earlier post.)
EnerDel is now working on products in each of the major electric vehicle battery categories—HEV, PHEV and EV.
We are confident in EnerDel’s capabilities to deliver this safe, reliable and high energy battery system that will power the electric vehicle of the future. While this is the largest Lithium-ion battery contract in the automotive industry to date, we expect demand for our vehicle and the resulting battery supply requirements to increase substantially from these levels.
—Jan-Olaf Willums, President and Chief Executive Officer of Think Global
So does this mean they are not going to use Tesla's battery pack going forward? Anyone know the details here?
Posted by: Husky | 15 October 2007 at 04:59 PM
It's tempting to think that with the sheer potential size of this agreement, the Tesla deal has been eclipsed in size and relevance. However, the initial contracts for Tesla and EnerDel are of somewhat similar size - 1.4 million versus 3 million, all for 2007-2008. Th!nk may be simply evaluating its options technologically as well as economically. Tesla also may be facing enough trouble building enough battery packs for even its own sports car - thus leading Th!nk to consider other suppliers.
Concerning the disparity between the 2007-2008 price agreements - perhaps Th!nk ordered the same number of packs from each manufacturer, and the EnerDel packs were cheaper?
Posted by: AES | 15 October 2007 at 05:22 PM
Smart business move. These guys are not competing with Tesla and there is strength in numbers.
Posted by: sjc | 15 October 2007 at 08:30 PM
Think are also using sodium nickel for their home market in norway
where low temp operation is a must , however I was told by an employee
of the manufacturer of this product Mes Dea in Switzerland, that the
complete prodution of this type of battery is sold for the next two years
and that they were unable to consider the quantitys that Think required,
I asked the guy if they were considering expanding the production of
this product to meet the new level of demand , to this he replied ,No !
Mes dea are one of the largest manufacturers of ancillary electrical
components ie window winding motors and the like to europes car
manufacturers , maybe this has somthing to do with the decision not
to ramp up the production .
However I would be intrested to know if anybody knows where Think are
going to get their Zebra batteries , is any one else making them ? the
market could certainly do with a little healthy competition !
Posted by: andrichrose | 15 October 2007 at 11:03 PM
Andrichrose
Nice info you have. It confirms my info that Think will start up production in November 2007. They had planned to produce 200 Think City in November and December but they will only do 70 or 35 per month because they are unable to get more battery packs delivered. The intention is to raise the monthly production of thinks to above 1000 within 20 months or so. Tesla has told Think that they will be delayed in their delivery and now you say that Mes Dea in Switzerland is sold out and do not intend to increase production. It would probably not be very wrong to assume that Think City is allowed to buy 35 batteries a month from Mes Dea in Switzerland. This is obviously not enough and Think should not rely on only one producer for its battery packs. Therefore it makes sense that they order batteries from both Tesla and now EnerDel.
It is not hard to understand why Mes Dae is not interested in expanding production of their molton-salt battery. They will run a large risk of having a useless and expensive factory once the automotive lithium battery is up and running in much larger volumes in one or two years from now. The molten salt battery is not the future because it is not user friendly (if the battery is cold it will not work and it will take some 24 hours to heat it up) and because of low energy density compared to lithium.
I wish Think City good luck. They are selling a luxury mini-car with the attraction of all the bragging power from driving an emission free car and from driving a car that is not as noisy as an ICE car. It will be expensive for its class and only the affluent will be able to buy it but I am sure it will sell well even at $40000. I just hope for Think that they can get it into volume production quickly or they will be blown away from competition when the large car producers start to copy them. They need the volume to be able to produce it as cheaply as their competitors.
Posted by: Henrik | 16 October 2007 at 04:23 AM
Supply of very large quantities of high performance automotive batteries may be solved when half a dozen + large Chinese and Japanese factories come on line.
It is difficult to understand why American and Europeans factories are so reluctant to invest in high performance automotive batteries mass production.
Have we already assumed that we cannot compete, even before the production cycle has started? If so, it does not augur well for local BEV production. UAW may have had very reasons to include local (USA) GM's Volt assembly in their latest contract.
Posted by: Harvey D | 16 October 2007 at 07:38 AM
Looks increasingly like it's a supply issue:
http://www.autobloggreen.com/2007/10/17/tesla-puts-its-energy-group-on-hold-for-now/
Posted by: AES | 17 October 2007 at 07:49 AM
What's the difference between Ener1's and Altair's batteries?
Posted by: lbg | 17 October 2007 at 06:43 PM