Clean Technology Canada

SNC-Lavalin signs first Canadian battery plant mandate for $141M

August 18, 2023
By Canadian Manufacturing

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MONTREAL — SNC-Lavalin, has been awarded an initial works contract by EcoProBM, to design and build one of Canada’s largest Cathode Active Material (CAM) plants in Bécancour, Québec.

The initial works contract is worth approximately $141 million, and represents SNC-Lavalin’s first major mandate in the electric vehicle (EV) battery market in Canada.

“With a unique endowment of critical minerals, an established manufacturing and industrial base, and a largely decarbonized and expanding power grid, Canada has an opportunity to establish an end-to-end supply chain that can support growing domestic and international EV demand,” commented Ian L. Edwards, President and CEO, SNC-Lavalin. “SNC-Lavalin is strongly positioned to support governments and manufacturers and deliver on the diverse pipeline of opportunities arising from the EV revolution, both in Canada and around the world, with our unique end-to-end capabilities that span across industries like mining, industrial & manufacturing, and clean power, all of which support the battery and EV markets.”

SNC-Lavalin’s Engineering Services groups will provide EcoProBM with initial concept design, basic design, and project management and delivery related to the establishment of the plant.

For electric vehicles, CAM is a key battery component. It represents about 40 per cent of the cost of a battery cell.

EcoProBM, has formed a joint venture with Ford Motor Co., and cell maker SK On Co., to establish the $1.3 billion dollar CAM plant in the Bécancour Industrial Park, located between Quebec City and Montreal. Canada represents EcoProBM’s second overseas factory.

Production of the three lines is expected to begin in April 2026. This plant will have a production capacity of 45,000 tonnes per year.

“EcoProBM has selected us to carry out this initial work because of our demonstrated expertise across numerous disciplines, unique end-to-end service offering, and solid supply chain, all of which we’ve demonstrated via early engagement in this ambitious project,” said Bob Alger, President, Major Projects, SNC-Lavalin. “Via a collaborative contracting agreement, we look forward to helping EcoProBM realize its vision for the future of Canadian automotive manufacturing, and demonstrating that SNC-Lavalin is the partner of choice in establishing battery manufacturing plants and other EV-related facilities.”

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