Nick Carey

LONDON (Reuters] – Britishvolt, an electric vehicle (EV), battery startup said Tuesday it will start a Series C round of funding with a starting investment in Glencore at 40 million pounds ($54million).

Britishvolt stated that it hopes to raise 200 million pounds through the financing round. Some of this will be used for developing the battery factory and research and development center in Northern England.

The company has so far raised approximately 100 million pounds.

According to the startup, it also signed deals with four carmakers that will have a cumulative demand of 2024-2025 gigawatthours (GWh), for its Blyth-based battery plant.

Britishvolt has so far only announced Lotus, a British automaker, as a potential customer.

Britishvolt, which secured UK government backing last month for Blyth’s project, was able to unlock 1.7 million pounds ($2.30 Billion) of private financing.

It should be possible to manufacture battery packs capable of supporting over 450,000 EVs each year once the 45 GWh, 3.8 Billion Pound plant becomes fully functional in 2027.

Britishvolt and Glencore concluded a long-term supply agreement for cobalt last year. The mining company also owns an undisclosed share of the startup.

Both companies plan to jointly create a UK battery recycling plant, which will allow for reuse of high-value raw materials, such as lithium and cobalt.

Britishvolt announced that its most recent fundraising round would be led by Bank of America, Citibank and Peel Hunt investment bank. The company will be assisted by Lazard (NYSE :).

($1 = 0.7395 pounds)