Northvolt says Montreal-area battery plant will go ahead despite bankruptcy filing

Northvolt AB is filing for bankruptcy extortion successful the United States, but says the determination volition not jeopardize the manufacturer’s planned electrical conveyance artillery works in Quebec.

The Sweden-based genitor institution says it and respective subsidiaries person filed for a court-supervised reorganization of its indebtedness and assets nether Chapter 11 of the U.S. bankruptcy code.

However, Northvolt says its Canadian subsidiary is financed separately and “will proceed to run arsenic accustomed extracurricular of the Chapter 11 process.”

The Northvolt plant, slated for operation astir 25 kilometres eastbound of Montreal, is simply a $7-billion undertaking that aims to churn retired artillery cells and cathode progressive worldly for electrical vehicles.

But concerns astir Northvolt’s fiscal solvency person besides raised questions astir a task to which Quebec and Ottawa person pledged $2.4 cardinal successful funding.

In September, Northvolt announced it would shrink its operations successful Europe and laic disconnected 1,600 employees successful Sweden, oregon astir a 5th of its workforce

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