Sepion Technologies – a leader in battery materials innovation – announced plans to build a cutting-edge lithium-ion battery separator manufacturing facility in the Capitol Innovation District, a 1 million square foot advanced biomanufacturing innovation district in the heart of West Sacramento. With a $17.5 million grant from CALSTART and the California Energy Commission’s PowerForward: ZEV Battery Manufacturing Grant Program, the facility will address critical supply chain gaps and bolster the domestic battery workforce — crucial for national security and the clean energy transition.
Battery separators are known for facing the largest domestic supply shortfall of all battery components. Sepion’s new facility will help bridge the domestic battery separator supply deficit, initially producing 50 tons of its proprietary polymer and 50 million square meters of coated separator annually—enough to power 50,000 electric vehicles. The company also plans to scale production significantly over subsequent years after starting production, with the goal of becoming a leader in the separator market.
Sepion’s separator coatings are built to unlock outsized $/kWh savings by improving the durability of low-cost, manganese-rich cathodes. And these coatings reduce the migration of transition metals from the cathode to the graphite anode, enhancing performance. The coatings are thinner and lighter than standard options, providing weight and space savings that translate into longer EV range. Importantly, these advancements come with competitive safety performance and full compatibility with existing battery cell manufacturing processes.
Sepion selected the Capitol Innovation District for their new site, citing proximity to the Port of West Sacramento and the Bridge District—an emerging neighborhood with housing and a vibrant lifestyle—as a key factor in their decision. And the facility layout is in place, with production slated to begin in 2027, following the completion of Phase I construction and process validation of Sepion’s manufacturing line. Sepion is also partnering with local organizations to train a local high-tech workforce, ensuring safe, efficient operations and benefits to the local community.
This announcement follows a series of major milestones for Sepion, including the company’s UN/DOT 38.3 safety certification, the introduction of a non-flammable electrolyte, and the opening of its pilot facility in Alameda, CA. The West Sacramento facility represents a major step toward closing the domestic battery separator supply gap, while supporting the broader goals of reducing greenhouse gas emissions, improving air quality, and promoting zero-emission vehicle adoption.
KEY QUOTE:
“We are excited to launch this transformative project to address the domestic battery separator supply gap with the support of the CEC and CALSTART. With this facility, we’re advancing the clean energy transition, creating jobs to solidifying California’s position as a leader in sustainable manufacturing, and showcasing how American battery innovation can scale from lab to factory.”
-Peter Frischmann, CEO and Co-Founder of Sepion
