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ENTEK Receives up to $1.2B Loan from Department of Energy for Vigo County Facility

ENTEK announced Friday that it has received a direct loan of up to $1.2 billion from the U.S. Department of Energy’s Loan Programs Office.

The loan will substantially finance the new facility in Vigo County south of Terre Haute to manufacture lithium-ion battery separators to be used primarily in electric vehicles, a press release from the company said.

“For forty years, ENTEK has been serving the battery separator component needs of its customers with a commitment to productivity and innovation that our customers require for their battery applications,” stated ENTEK CEO Larry Keith. “The separator is a critical battery component responsible for the safety of the lithium batteries that we are increasingly relying on in many aspects of both our daily lives and as a country as we move to compete globally in energy storage critical to our national security.”

A battery separator is a microporous membrane sandwiched between the anode and cathode of a battery. The principal functions of the battery separator are to prevent electronic conduction (i.e., shorts or direct contact) between the anode and cathode while permitting ionic conduction via the electrolyte. Separators play an essential role in the performance and safety of lithium-ion batteries.

ENTEK will be able to customize battery separators to accommodate numerous EV battery designs. The separators produced will be able to accommodate all existing lithium-ion EV battery chemistries, the release said.

ENTEK aims to become the U.S.’s first end-to-end, domestic supplier of “wet process” battery separators for the North American lithium-ion EV battery market. The project is expected to create 763 construction jobs and 635 operational jobs. ENTEK’s hiring strategy includes a focus on local labor, including workers who have been displaced from manufacturing industries. ENTEK’s recruitment partnerships include Ivy Tech Community College, Indiana State University, local workforce boards and workforce systems, community-based organizations, and Apprenticeship Readiness Programs.