Sun Sep 15 10:28:42 UTC 2024: ## Epsilon Advanced Materials to Invest ₹9,000 Crore in Anode Plant in Karnataka
**Bangalore, India** – Epsilon Advanced Materials, a leading battery materials manufacturer, has announced plans to establish a ₹9,000 crore anode plant in Karnataka. The facility, with an annual production capacity of 90,000 tonnes, is expected to cater to the growing demand for electric vehicles in India.
The project will be implemented in two phases. The first phase, with an investment of ₹4,000 crore, will see the construction of a 30,000-tonne anode plant, targeted for completion by Q4 2026. The plant will then be expanded to reach its full capacity of 90,000 tonnes by 2031, requiring an additional investment of ₹5,000 crore.
Epsilon Group Managing Director, Vikram Handa, highlighted the need for Indian cell manufacturing companies to establish battery production within the country. Epsilon’s anode and cathode materials will serve as a sustainable and reliable supply source for these companies.
The company plans to commence construction within the next six to eight months, with a completion timeline of 18 months. Funding for the first phase will come from customer advances, debt, and project financing. Epsilon expects to begin supplying the market by the end of 2026 or early 2027.
Handa emphasized the strong customer loyalty associated with battery materials, stating that once acquired, customers are likely to remain for seven to eight years due to the high cost of replacing these materials.
Epsilon Carbon, the parent entity, is already a prominent player in the production of speciality carbon and carbon black for tyre applications. The company is also developing a new project in Odisha, with a planned investment of ₹10,000 crore in phases.
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