Novonix (ASX:NVX) has received unanimous approval from the City of Chattanooga and Hamilton County to purchase an 182-acre site for its second mass production plant, Enterprise South.
The land acquisition, valued at approximately $4.6 million, is subject to conditions outlined in the purchase agreement and final approval from the Chattanooga Industrial Development Board.
As part of the expansion, the company has secured an estimated $54 million in net tax and other incentives over 15 years, contingent on meeting specific conditions.
The new facility, expected to reach a full production capacity of 31,500 tonnes per annum by 2028, will generate 500 full-time jobs.
Combined with the company's existing Riverside plant, scaling up to 20,000 tpa, NOVONIX aims to exceed 50,000 tpa of synthetic graphite production in Chattanooga by 2028.
Novonix is expanding its partnership with Lookout Valley Middle High School through the Novonix Institute of Advanced Battery Technology, offering students hands-on STEM education.
The expansion follows Novonix's recent $754.8 million conditional loan commitment from the US Department of Energy to support Enterprise South’s development.
The Riverside facility, set to begin commercial production in 2026, has received a $100 million DOE grant and a $103 million investment tax credit to support its growth.
Novonix has secured long-term supply agreements with Panasonic Energy, Stellantis, and PowerCo, ensuring full capacity utilisation at Riverside and necessitating further expansion at Enterprise South.
At the time of reporting, Novonix's share price was $0.48.