SK On Co. said Wednesday it is spending 1.5 trillion won (US$1.12 billion) to add a new manufacturing facility in South Korea in its biggest domestic investment as it pushes for an expansion.
The envisioned third factory will be established on an area of 44,125 square meters in an industrial complex in Seosan, South Chungcheong Province, the battery making unit under SK Group said in a release.
SK On's two existing domestic plants are located in the same city.
SK On signed a memorandum of understanding on the investment plan earlier in the day with the city government of Seosan and the provincial government of South Chungcheong Province, attended by its CEO Ji Dong-seop and other officials.
The facility, which is scheduled to be completed in 2025, will have an annual capacity of 14 gigawatt hours by 2028, SK On said.
That would boost SK On's total domestic production capacity to around 20 GWh, equivalent to powering some 280,000 electric vehicles.
The Seosan plant's current production capacity stands at 5 GWh. Globally, SK On has the capacity to produce 89 GWh.
Source: Yonhap News Agency