Launch of preliminary consultation on the Orano / XTC New Energy project in the Dunkirk area

The project in brief

Following the announcement of their partnership on May 16, 2023, the Orano Group, a recognized international operator in the field of nuclear materials, and XTC New Energy, a company specialized in the production of cathode materials for batteries, are pursuing their joint project to build an integrated industrial site in France.

Focusing on both the upstream and downstream of the electric vehicle battery industry, this site will combine the production of battery materials with the recycling of scrap¹ from electric vehicle battery manufacturing plants (gigafactories) and end-of-life batteries.

The project is situated on a plot of land allocated by the Grand Port Maritime de Dunkerque (GPMD) under a Call for Expressions of Interest (French AMI) process, located in the communes of Gravelines and Loon-Plage, and the industrial site will comprise 3 plants and shared buildings, as follows:

• A plant for the production of Cathode Active Material Precursors (P-CAM)², comprising two production units with an annual capacity of 40,000 metric tons of P-CAM each (for a total of 80,000 metric tons);
• A plant for the production of Cathode Active Materials (CAM)³, comprising two production units with an annual capacity of 40,000 metric tons of CAM each (for a total of 80,000 metric tons), enabling the production of a total of 64 GWh of batteries (equivalent to the equipment of between 700,000 and 1,000,000 cars, depending on battery capacity);
• A plant to recycle production scrap from P-CAM, CAM and gigafactories, as well as end-of-life batteries. This plant will include a pre-treatment unit capable of processing 15,000 metric tons of battery modules per year, and a hydrometallurgy plant capable of recycling 20,000 metric tons of metal mass ("blackmass")⁴ by extracting the metals of interest (nickel, manganese, cobalt, lithium) they contain;
• An administrative center common to all three plants;
• Research and Development activities on P-CAM and CAM, with associated R&D centers.

The project involves two other co-contractors, Air Liquide France Industrie for the supply of oxygen and nitrogen, and RTE for the connection to the public power transmission grid.

It represents a total pre-tax investment of 1.5 billion euros (under 2023 economic conditions) and will be commissioned in several phases by the end of 2027, creating a projected 1,300 direct jobs.

The preliminary consultation is being organized under the aegis of the French National Public Debate Commission (CNDP), which has appointed three guarantors - Anne-Marie Royal, Christophe Bacholle and Jean-Louis Laure - to assist with the preparation of the consultation procedures and ensure that they run smoothly.

As part of the consultation process taking place from February 5 to March 31 on the Orano and XTC New Energy project in the Dunkirk area, many events are scheduled throughout the region: public meetings, conference-debates, in-depth workshops, neighbourhood meetings, etc. At these meetings, and via the www.concertation-orano-xtcnewenergy.fr website, the public will be able to voice their opinions and exchange views with the project partners. The preliminary consultation will give rise to a report drawn up by the CNDP guarantors.

"The aim of this project led by Orano and XTC New Energy is to support the development of gigafactories by producing and recycling the materials used in the batteries. We are proud to contribute to the development of a new industrial sector in France, based in the Dunkirk area. We want the upcoming consultation to be an opportunity to present the stakes of this project, both in terms of economic and social development, and the conditions for its integration into the local area," explains Thomas Brion, Project Director for Orano. 

"The project will be XTC New Energy's first outside China. We have been actively preparing for this consultation with our partners and are delighted to present this project and our know-how," adds Michael Wentao Liu, Director Europe and North America at XTC New Energy.

"As neutral and independent parties with regard to the project and the project co-owners, we will be attentive to the proper conduct of this participation procedure, keeping a watchful eye on the clarity and completeness of the information provided, and on the real possibility for everyone to take part in the various debate sessions, to express their arguments and formulate their questions", underline the guarantors.

About XTC New Energy

XTC New Energy is a Chinese group producing lithium-based cathode materials. A new company set up in 2016 through a spin-off of the battery materials division of parent company Xiamen Tungsten Co., Ltd. (XTC), the group has been producing new materials, particularly for lithium-ion batteries, since 2002. XTC New Energy has eight subsidiaries and a research institute for new energy materials, with five production sites in China. XTC New Energy aims to grow by assisting its customers, the gigafactories, in their main markets in Europe and, in time, North America, by providing advanced solutions that contribute to the goal of carbon neutrality.

About Air Liquide France Industrie

Air Liquide France Industrie is a French subsidiary of the Air Liquide Group, a world leader in gases, technologies and services for Industry and Health. Present in 73 countries with approximately 67,100 employees, the Air Liquide Group serves more than 3.9 million customers and patients. Oxygen, nitrogen and hydrogen are essential small molecules for life, matter and energy. They embody Air Liquide's scientific territory and have been at the core of the company's activities since its creation in 1902. Acting in the present while preparing for the future is a central tenet of Air Liquide's strategy. The Group develops solutions for the climate and energy transition - with hydrogen in particular - and acts to promote progress in the fields of health, digital and high technology. 

About RTE

In its capacity of France’s transmission system operator, RTE is a public utility whose role is to supply electricity around the clock, providing the same quality of service across the country with the support of its 9,500 employees. Every second of the day, RTE controls power flows while constantly balancing supply and demand. RTE maintains and expands the capacity of the high and ultra-high voltage grid (ranging from 63 000 to 400 000 volts) amounting to over 100 000 kilometres of overhead lines, over 6 000 kilometres of underground lines, 2,800 solely operated or jointly operated substations and 51 cross-border lines. France’s power grid - the most extensive in Europe - is interconnected with 33 countries. As a key industrial player in the energy transition, RTE is optimising and transforming its grid with a view to accommodating more power generation facilities, irrespective of future energy choices. The public authorities rely on RTE’s technical expertise and reports to inform their decisions.

About CNDP

The CNDP (Commission nationale du débat public) is the independent authority responsible for guaranteeing the right of everyone living in France to information and participation on projects or policies that have an impact on the environment. This right is written into law in Article 7 of the Environmental Charter. The public's "right to debate" also helps to improve the decisions made by those responsible for projects or policies. It sheds light on the public's values, expectations and questions. The CNDP does not rule on the appropriateness of the projects or policies concerned.