South 8 Technologies executes $9.2M PowerForward grant agreement to expand advanced battery manufacturing in San Diego

South 8 Technologies, a California-based advanced battery company, today announced the execution of a funding agreement under the PowerForward Battery Manufacturing Grant Program, administered by CALSTART with support from New Energy Nexus (NEX), UC Berkeley Labor Center and funded by the California Energy Commission (CEC).

PowerForward is California’s market-accelerating, $67 million grant program designed to attract and retain zero-emission vehicle (ZEV) battery manufacturing in California, create high-quality jobs, generate positive economic impacts for local communities, and contribute to California’s goal of zero-emission transportation.

South 8 has developed a liquefied gas electrolyte (LiGas) platform that differs fundamentally from conventional lithium-ion electrolytes. LiGas batteries deliver enhanced safety, industry-leading low-temperature performance, fast-charging capability and longer cycle life, enabling lithium-ion batteries to operate reliably across a wide temperature range while maintaining performance, addressing key challenges facing ZEV adoption. LiGas also enables a fully domestic electrolyte supply chain, as its gases are manufactured in the United States at industrial scale and readily available, reducing exposure to foreign supply-chain risk.

Under the executed agreement, South 8 will expand its current San Diego headquarters to support its growth to scale LiGas electrolyte production to 100 MWh and lithium-ion cell production to 2 MWh annually. Battery cells produced in the project will be supplied to South 8’s defense, aerospace, and mobility customers. Customers receiving South 8 battery cells will include global automotive manufacturers in support of development and qualification programs.

“We’re excited to scale production of our advanced LiGas electrolyte and high-performance, resilient battery cells,” said Jungwoo Lee, CEO of South 8 Technologies. “Expanding our San Diego operations is a critical step in strengthening the domestic battery supply chain in support of our customers in defense, aerospace, and zero-emission vehicle deployment.”

“PowerForward was created to scale battery production in California while delivering skilled jobs and economic benefits to local populations in support of the state's zero-emission transportation goals. South 8’s innovative project in San Diego reflects the program’s goals of building a robust domestic supply chain, strengthening in-state battery manufacturing, and advancing technologies that support zero-emission transportation. We’re proud to support their work,” said Phoebe Bisnoff, Deputy Director of Battery Manufacturing at CALSTART.

The PowerForward grant solicitation was released on April 5, 2024. Following a competitive evaluation process, CALSTART issued a Notice of Proposed Awards identifying applicants recommended for funding based on technical merit, manufacturing readiness, economic impact, and alignment with California’s ZEV and workforce objectives. South 8’s project was selected as part of this competitive process and reflects the company’s continued investment in California-based manufacturing infrastructure and advanced battery technology development.