ARENA backs Sicona battery technology demonstration with up to $45M funding

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Image credit: ARENA

The Australian Renewable Energy Agency (ARENA) has announced up to $45 million in funding for Sicona Battery Technologies to demonstrate the commercial-scale manufacturing of its advanced silicon-carbon battery anode material, with the project aimed at improving electric vehicle (EV) battery performance while supporting Australia’s battery manufacturing capability.

According to ARENA, the funding will support the construction and operation of a commercial-scale demonstration facility in the Illawarra region, potentially within BlueScope’s Port Kembla precinct. The project is being delivered under the Battery Breakthrough Initiative.

ARENA said the SiCx® silicon-carbon anode technology is designed to improve lithium-ion battery performance by increasing battery energy density by 20 per cent and enabling charging speeds of up to 40 per cent faster than conventional graphite anodes, while remaining compatible with existing battery manufacturing processes.

ARENA Chief Executive Officer Darren Miller said the project would contribute to the development of next-generation battery technologies and Australia’s position in the global battery supply chain.

“Improving battery performance will help to further accelerate the uptake of electric vehicles and lowering emissions,” Miller said.

“Sicona’s technology has the potential to deliver faster charging, longer driving range and lower-cost batteries. The technology has undergone independent testing and is already being evaluated by global battery and electric vehicle manufacturers, highlighting its strong commercial potential.”

He said the project would also support domestic capability in advanced battery materials, helping reduce reliance on imported components while strengthening Australia’s role in the global battery supply chain.

According to ARENA, Sicona’s SiCx® material is produced through a mechanical process that the company says is safer, more scalable and lower cost than existing silane-based approaches. Material produced at the demonstration facility will be provided to prospective customers as part of efforts to secure offtake agreements with global battery and EV manufacturers.

Sicona Founder and Chief Executive Officer Christiaan Jordaan said the demonstration facility would help validate the company’s manufacturing process at commercial scale.

“Battery-powered industries need higher performance at lower cost. Our silicon-carbon anode technology is designed to deliver faster charging, greater energy density and a scalable pathway into existing lithium-ion battery supply chains,” Jordaan said.

“The Wollongong facility will allow us to validate our process at commercial scale, deliver SiCx® to customers, and accelerate our path to market.”

Jordaan added that the project demonstrates Australia’s potential to expand beyond exporting critical minerals into advanced materials manufacturing, creating skilled jobs and participating in higher-value battery supply chains.

ARENA said the facility is expected to create up to 36 skilled manufacturing jobs while supporting workforce development, training and local industry partnerships.

The funding forms part of the Battery Breakthrough Initiative, a competitive, merit-based program delivered by ARENA under the Australian Government’s National Battery Strategy and Future Made in Australia agenda. The initiative has now closed.