IBU-tec advanced materials AG is making steady progress on the construction of its industrial-scale LFP battery materials production facility in Bitterfeld, Germany. The company announced that the steel structure for a new logistics hall with storage capacity for approximately 1,800 pallets has been erected on site, with interior fit-out expected to be finalized over the next six months. Detailed engineering for the production facilities has also begun, following the topping-out ceremony for the new spray tower in April 2026.
The facility, which is set to commence operations in 2028, will have an annual capacity of 15,000 tonnes, increasing IBU-tec's existing capacities by approximately five times. It is the first of its kind in Europe and a key building block in the development of a European battery value chain. The production process is proprietary and does not rely on Chinese technology, tailored specifically for the European market. According to IBU-tec, the battery material produced features a superior CO2 footprint, consuming only about half the energy compared to conventional processes from China.
The company is implementing agreements made with PowerCo SE regarding process development, capacity expansion, and production of LFP cathode material (see ad hoc release dated October 6, 2025). PowerCo has contractually secured the entire production volume for a minimum period of ten years. Trial operations of the spray tower are scheduled to begin in Q4 2026, marking a significant milestone toward full-scale production.
Jörg Leinenbach, CEO of IBU-tec advanced materials AG, stated: "We are making good progress in building the large-scale production capacities for LFP battery materials in Bitterfeld. We are in close and constructive communication with PowerCo regarding the scheduled implementation of our timeline. In the coming months, we will achieve further milestones so that production can start as expected in 2028."
The expansion of analytics spectrum in Bitterfeld and harmonization of IT systems are also progressing according to schedule. The LFP production facility represents a critical step in establishing a domestic supply chain for battery materials in Europe, reducing dependence on Asian imports and supporting the region's electromobility and energy storage sectors.
