Sicona secures $45m ARENA grant for Wollongong battery materials facility

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Sicona Battery Technologies has secured $45 million in funding from the Australian Renewable Energy Agency (ARENA) to build and operate its first commercial-scale silicon-carbon battery anode material production facility in the Illawarra region.

As part of the plan, Sicona and BlueScope Steel Limited have entered into an exclusivity agreement to assess the potential development of the facility within BlueScope’s Port Kembla precinct.

The proposed facility is intended to scale production of Sicona’s silicon-carbon anode material, SiCx®, to up to 230 tonnes per annum, targeting customer qualification and commercial sales with global battery manufacturers and original equipment manufacturers.

The grant is being delivered under the Australian Government’s Battery Breakthrough Initiative, which is designed to support domestic battery manufacturing capability and strengthen Australia’s position in the global battery supply chain.

Sicona said the investment supports its move from technology development to commercial scale-up, and pointed to potential demand beyond electric vehicles, including AI data centres, power tools, defence, robotics and other high-performance battery markets.

Christiaan Jordaan, founder and chief executive of Sicona Battery Technologies, said: “ARENA’s support is a major endorsement of Sicona’s technology, our team, and Australia’s ability to build globally relevant battery materials manufacturing capability.

“Battery-powered industries need higher performance at lower cost. Our silicon-carbon anode technology is designed to deliver faster charging, greater energy density and a scalable pathway into existing lithium-ion battery supply chains.

“While EVs remain a major opportunity, some of the fastest-growing demand is coming from AI data centres, robotics, drones and power tools. These applications need high energy and power density today, and SiCx® is designed to help meet that demand. The Wollongong facility will allow us to validate our process at commercial scale, deliver SiCx® to customers, and accelerate our entry to multiple markets.

“It also shows Australia can do more than export unprocessed critical minerals. We can manufacture advanced materials, create skilled jobs, and compete in the high-value battery supply chains that will power the global energy transition.”

Darren Miller, CEO of ARENA, said: “Sicona is developing the kind of next-generation battery technology that can help Australia move further up the global battery supply chain.

“Improving battery performance is critical to accelerating the uptake of electric vehicles and supporting the transition to a net zero economy.

“Sicona’s technology has the potential to deliver faster charging, longer driving range and lower-cost batteries. The technology has undergone independent testing and is already being evaluated by global battery manufacturers and electric vehicle companies, highlighting its strong commercial potential.

“By supporting Sicona’s Wollongong facility, ARENA is helping build the domestic manufacturing capability Australia needs to turn battery innovation into commercial supply.”

Sicona said the development of the Wollongong facility is expected to create up to 36 skilled manufacturing jobs and support workforce development, training and local industry partnerships.

The ARENA announcement follows Sicona’s May 2025 licensing and strategic partnership with Himadri in India, including an AU$17.5 million follow-on investment. Sicona also said it is planning a 6,500 tonne per annum commercial facility, with longer-term expansion potential to 26,500 tonnes per annum.

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