Entek receives loan for EV battery separator plant 

Nov. 25, 2024
The loan of up to $1.2 billion from the U.S. Energy Department will finance the facility in Indiana.

By Bruce Geiselman 

Entek Lithium Separators LLC has received a direct loan of up to $1.2 billion from the U.S. Department of Energy’s Loan Programs Office, the company announced Nov. 25. 

Entek in July announced receiving a “conditional commitment” for the loan. 

The loan will finance a new plant in Terre Haute, Ind., for manufacturing PE-based lithium-ion battery separators to be used primarily in electric vehicles. The project will help onshore the lithium-ion battery cell supply chain, according to the company. Entek is the only U.S.-owned and U.S.-based producer of “wet-process” lithium-ion battery separator materials. 

Entek has been supplying battery separator components for 40 years.  

“The separator is a critical battery component responsible for the safety of the lithium batteries that we are increasingly relying on in many aspects of both our daily lives and as a country as we move to compete globally in energy storage critical to our national security,” Entek CEO Larry Keith said in a statement. 

A battery separator is a microporous membrane sandwiched between the anode and cathode of a battery. The battery separator prevents shorts or direct contact between the anode and cathode while permitting ionic conduction via the electrolyte. Separators play an essential role in the performance and safety of lithium-ion batteries. 

Entek also manufactures twin-screw extruder technologies for producing separator film and for other applications. 

“Entek is a technology company at its core with expertise in equipment design and fabrication, process technologies, and materials science,” CTO Richard Pekala said in a statement. “These competencies make Entek the right company to lead the U.S. expansion of separator component manufacturing.” 

Entek will customize battery separators to accommodate numerous EV battery designs. The separators will accommodate all existing lithium-ion EV battery chemistries. In addition, Entek plans to sell its separators to manufacturers of lithium-ion batteries for energy storage applications. 

Entek expects the project will create 763 construction jobs and 635 operational jobs. The company’s hiring strategy includes a focus on local labor, including workers who displaced from manufacturing industries. Recruitment partnerships include Ivy Tech Community College, Indiana State University, local workforce boards and workforce systems, community-based organizations, and Apprenticeship Readiness Programs. 

Entek aims to become the country’s first end-to-end, domestic supplier of “wet process” battery separators for the North American lithium-ion EV battery market. The project will help U.S. EV battery manufacturers satisfy the Inflation Reduction Act’s domestic content rules under the 30D Clean Vehicle Credit, according to the company. 

Entek, Lebanon, Ore., 541-259-3901,www.entek.com   

About the Author

Bruce Geiselman | Senior Staff Reporter

Senior Staff Reporter Bruce Geiselman covers extrusion, blow molding, additive manufacturing, automation and end markets including automotive and packaging. He also writes features, including In Other Words and Problem Solved, for Plastics Machinery & Manufacturing, Plastics Recycling and The Journal of Blow Molding. He has extensive experience in daily and magazine journalism.