Norwegian aluminum producer Hydro has announced the acquisition of the remaining shares in battery recycler Hydrovolt from Swedish battery manufacturer Northvolt. This strategic move provides Hydro with complete control over Hydrovolt. It strengthens Hydro’s position in the rapidly growing electric vehicle (EV) battery recycling market. The acquisition, valued at 78 million kroner ($6.8 million), is expected to be finalized in the first quarter of 2025. This is subject to court approval.
Hydrovolt, founded in 2020 as a 50/50 joint venture between Hydro and Northvolt, operates a state-of-the-art EV battery recycling plant in Fredrikstad, Norway. This facility is one of Europe’s largest. It can recover 95% of the materials from end-of-life EV batteries. The materials include aluminum, copper, plastics, and black mass. This black mass contains valuable metals like nickel, manganese, cobalt, and lithium.
Expansion Plans and Future Outlook
Hydrovolt is also in the process of constructing another recycling plant in Hordain, northern France. They have plans to commence operations later this year. The company aims to recycle 300,000 tonnes of battery packs annually by 2030. This is equivalent to approximately 500,000 EV batteries.
This acquisition comes at a time when Northvolt is facing financial difficulties. Northvolt filed for Chapter 11 bankruptcy in late 2024. Hydro has been solely financing Hydrovolt’s operations since mid-2024. Hydro is now actively seeking a new partner to ensure the long-term financial stability of its subsidiary.
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