IBU-tec Advances Construction of LFP Production Facility in Bitterfeld, Trial Operations Expected in Q4 2026

IBU-tec advanced materials AG (ISIN: DE000A0XYHT5) is making steady progress in building its large-scale production facility for LFP battery materials in Bitterfeld, Germany. The company announced on July 15, 2026, that construction of logistics infrastructure, expansion of analytics capabilities, and IT system harmonization are proceeding on schedule. Detailed engineering for the production facilities has commenced, and the steel structure for a new logistics hall with storage capacity for approximately 1,800 pallets has been erected. Interior fit-out is expected to be completed over the next six months.

Following the topping-out ceremony for a new state-of-the-art spray tower in April 2026, IBU-tec continues to implement agreements with PowerCo SE regarding process development, capacity expansion, and production of LFP cathode material. Trial operations for the spray tower are scheduled to begin in the fourth quarter of 2026. The facility, which is set to start operations in 2028, will have an annual capacity of 15,000 tonnes, increasing IBU-tec's existing capacities by approximately five times.

The Bitterfeld plant is the first of its kind in Europe and represents a key component in developing a European battery value chain. It relies on a proprietary production process developed by IBU-tec that does not use Chinese technology and is tailored to the European market. The battery material produced features a superior CO2 footprint, consuming only about half the energy compared to conventional processes from China. PowerCo has contractually secured the entire production volume for a minimum of ten years.

Jörg Leinenbach, CEO of IBU-tec advanced materials AG, stated, "We are making good progress in building the large-scale production capacities for LFP battery materials in Bitterfeld. We are in close and constructive communication with PowerCo regarding the scheduled implementation of our timeline. In the coming months, we will achieve further milestones so that production can start as expected in 2028."

The announcement underscores IBU-tec's strategic role in Europe's push for battery self-sufficiency. The successful construction and operation of this facility could reduce dependence on Asian suppliers, particularly China, which currently dominates LFP production. The energy-efficient process also aligns with European sustainability goals, offering a lower-carbon alternative for battery manufacturing. As electric vehicle adoption grows, securing a domestic supply of cathode materials becomes critical for automakers and battery producers like PowerCo, a joint venture of Volkswagen Group. The long-term off-take agreement provides revenue stability for IBU-tec and ensures a reliable supply chain for PowerCo.

For more information, refer to the original announcement on NewMediaWire.