Global investment in new production lines for cell and battery packs is very high. Approximately ten gigafactories are needed to meet expected demand over the next ten years. Assuming a “Lean, Clean and Green” Factory, our expert Klaus Eberhardt, PhD, has presented at Intersolar Europe innovative building concepts for the “Smart Size Battery Cell Factory”. In his presentation he shared exclusive insights in factors like scaling effects, product diversity, safety concepts and site evaluation matrix.

1. Smart Size Battery Cell Factory
Munich, May, 31st, 2017
Dr. Klaus Eberhardt
EES Europe Conference – Battery Production Technology

2. Contents
• Company Overview
• Battery factory: From the first idea to the first product
• Smart Size Battery Factories
• Conclusions

3. © M+W Group GmbH I May 2017 3
1912
est. in Germany
€ 2.6 bn
sales in 2016
Leading player
with global reach
Engineering & Construction of Technology Facilities
Present in 30+
countries
Semiconductor Facility Pharmaceutical Campus Research Institute

4. © M+W Group GmbH I May 2017 4
Our Markets and Region
Advanced Technology
Facilities
• Semiconductor #1
• Photovoltaic #2
• Displays #2
• Batteries -
Life Sciences &
Chemicals
High Tech
Infrastructure
50% 35% 15%
AMERICAS
1,300
employees
EMEA
2,200
employees
APAC
2,000
employees
Cleanroom Technologies & Controlled Environments
5,500 Employees Worldwide

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Contents
• Company Overview
• Battery factory: From the first idea to the first product
• Smart Size Battery Factories
• Conclusions

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Manufacturing Factory
Equipment
Energy
Material
Products
Emissions
Waste

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Battery Value Chain for Automotive Applications
HEV / PHEV / EV
Havy-Duty Hybrids Un
Material Battery Cell Battery Cars Infrastructure Recycling

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Battery Cell Fab - Generic Manufacturing Area
Layout for High Volume Manufacturing
Slitting &
Calendering
Mixing & Coating
Electrolyte
Filling
Drying & Cell
Assembly Aging, Formation & Test
Dry Room

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Drain
Heat Exhaust
Specialty Gases
Compressed Air
Bulk Gases
Inside-Out Approach
Key elements to drive down costs
The function, operation and shape of any facility are
primarily driven by process & manufacturing requirements
Site Infrastructure
Process
Equipment & Automation
Production Environment
Dryroom / Cleanroom
NMP Recycling
Power
DI-Water
PCW
Dessicant Air
Bulk Chemicals

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Manufacturing*
• Mixing
• Electrode Production
• Cell Assembly
• Formation
• Battery Pack Assembly
Logistics
• Material Incoming
/Outgoing
• Material Handling
• Waste Collection
• Storage
• Shipping
• Packaging Facilities
• Facility Plants
• Solvent Recovery
• Storage
• Control / Maintenance
• Distribution
Manufacturing Support*
• Material Airlock
• Gowning
• Process Labs / QC
• Handling
• Distribution
General Support
• Personnel
• Equipment
• Locker
• Maintenance / Workshop
• Labs / R&D
• Distribution
Administration
• Offices
• Office Support
• Meeting
• Canteen / Kitchen
• Distribution
Uncovered Areas –Site
• Gas Farm
• Parking
• Primary Transformer
• Tanks
• Guard House
Uncovered
– Site
Administration
Facilities
Manufacturing
Support
Logistics
General Support
*) partly Dryroom / Cleanroom
Generic overview on required areas / functions
Battery Factory

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Contents
• Company Overview
• Battery factory: From the first idea to the first product
• Smart Size Battery Factories – The GigaLIB Project
• Conclusions

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Giga-LIB Joint Research Project
High Volume Battery Cell Factory - Initial Assumptions
Development of a
prototype 4 GWh/year
Battery Cell Factory
For the production of
25 Mill. Cells/year* for
the automotive industry
R&D consortium
supported by the
German Government
Focus on Resource Efficiency
Material – Energy – Environment – Personnel – Investment – Time
Battery Manufacturer
Facilities, Engineering and Construction
Equipment Suppliers
R&D Institute
*equivalent to 100.000 Electric Vehicle Batteries per year, average capacity = 40 kWh/EV

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Giga-LIB: Integrated Project Approach
Joint approach from leading German high tech companies:
Integration of Process, Equipment and Facilities into the Building
Reduction of Interfaces and optimized Safety concept
Focus on Sustainability and efficient use of Resources
Certainty on Cost, Schedule and Quality Requirements
The Integrated Project Approach is a prerequisite for a competitive Factory
Battery Cell Manufacturer
Program Management

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Giga-LIB: Integrated Project approach
Scaling effects for Building and Facilities
0
0.2
0.4
0.6
0.8
1
1.2
SpecificCostperArea
10.000 m2 50.000 m2 200.000m2
40% Cost
reduction

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Giga-LIB - Factory Concept
Electrode Production Cell Assembly Formation & Testing
M+W Scope M+W Integration (Input from Partners)
FACTORY
CONCEPT
LIFE CYCLE
COST MODEL
REGULATORY
& SAFETY
FAB BIM
MODEL
AUTOMATION SIMULATION
PRODUCTION
TECHNOLOGY
PROCESS
EQUIPMENT
DATA

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Fab Input Fab Output
Codes / Regulations
Process exhaust
Waste water
1. Environmental Protection
2. Production Reliability
Redundancy Concept
Operational Safety
3. Site protection from
Adjacent industries
Utility deficiencies
Emergency systems
Property protection
Qualified fire department
2. People / Asset Protection
Earthquakes
Heavy Storms
Flooding
3. Natural Hazards
6
Time to Fab
Safe supply of HPMs
4. Supply Chain Management 5. Production Reliability 6. Site Criteria
Focus on People, Environmental & Asset Protection
Human being shall always have priority
Fab Safety Engineering
Embedded into a holistic safety concept

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Smart
Engineering
Industrial
Engineering
Purchasing
M+W Group‘s added Value
Drive down costs while maintaining highest Safety
1.0
0.5
0.0
Cost effective
Dryroom
Technology
Improvement
Lessons
learnt
Fab Safety
Engineering
Optimized
Building
Concept
High
Throughput
Process
Tools
Material
Supply
Chain
Process Equipment &
Technology
Safety
Cost/
kWh (a.u.)
Added Value from the design/build company
Benchmarking

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Generic Schedule
Design-Build Approach EPC
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17
Basic Engineering
Permit Design
Building Permit
Detail Engineering
Procurement Building
Procurement Facilities
Ground Breaking
Earth work
Building Construction &
MEP Installations
Start Commissioning /
Start Tool Install
Special Conditions Required
 Effective Design Start
 Open Book Approach
 Fast Track Permitting

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Giga-LIB: The Smart Size Factory
Electrode
Production
Cell
Assembly
Formation &
Testing 6-8 GWh/year
Capacity output
200.000
EVs/year
800 Mio. €
Invest
18 months
Ready for production
50.000 m2
Total Building Area
Progress status March 2017

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Site Master Plan for Smart Size Factory
Capacity: 6-8 GWh/a

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Site Master Plan for High Volume Cluster
Capacity: 35-65 GWh/a

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 The market for Li-Ion Batteries is strongly increasing
 Strong demand for automotive, stationary storage as well as for power tool applications
 New Factories are required in the neighborhood of the end markets
 Within the funded project GigaLIB, M+W developed, together with the project partners VARTA,
Manz, TK Engineering and ZSW a smart size Battery Factory Concept
 6-8 GWh/a capacity is an economic size for such a Factory
 Safety aspects are considered
 Advanced logistic concept
Summary
Smart Size Battery Cell Factory
We are committed to developing a reliable, long-term partnership with our clients

23. Thank You!
www.mwgroup.net
M+W Group GmbH
Lotterbergstr. 30
70499 Stuttgart (Germany)
Contact:
Dr. Klaus Eberhardt
Klaus.eberhardt@mwgroup.net
Phone: +49 711 8804 1877