Logistea has signed a framework agreement with FREYR regarding in-depth work for the establishment of a battery production facility in Svenljunga

Logistea AB (publ) has today, via the JV company Logistea Lockryd Park AB (the “JV-company”), signed a framework agreement with the international battery cell producer FREYR Battery Norway AS. The agreement relates to the finalisation of the zoning plan and the planning process as well as an option for FREYR to lease the property. The agreement is an essential next step for the establishment of a battery production facility in Lockryd in Svenljunga municipality, Sweden.

The JV-company, of which Logistea owns 95 percent and Hansson Holding AB the remaining five percent, has today signed a framework agreement with the battery cell producer FREYR Battery Norway AS. The framework agreement is valid until December 31, 2025, and relates to the finalisation of the zoning plan and the planning process in order to investigate the possibility of establishing a battery production facility in Lockryd in Svenljunga municipality, Sweden.

The framework agreement includes the division of responsibility and costs between the parties in the in-depth work with the planning process and a unilateral option, for FREYR, regarding the lease of the property of approximately one million square meters of land area that the JV-company and Svenljunga municipality has signed a property purchase right agreement (Sw. markreservationsavtal) for. The agreement does not imply any material financial commitments for Logistea until FREYR invokes the option.

The work with the zoning plan has been ongoing since the initial letter of intent was signed between the parties in December 2021. The framework agreement replaces the letter of intent, and the parties expect the zoning plan to gain legal force in the end of 2023.

"The work with the planning process has progressed well since the letter of intent with FREYR was signed in December 2021. Collaboration has occurred in good spirit and pace between Svenljunga municipality, Borås region, Business Sweden, FREYR, Logistea and Hansson Holding. The commercial framework agreement that we today have entered into with FREYR confirms both parties' interest in continued progress for the project," says Niklas Zuckerman, CEO, Logistea AB.

Logistea intends to continuously provide information about the project as it develops.