Energy storage solutions company NSure Reliable Power Solutions (NSure) is set to begin pilot production of lithium-ion cells at its 1 GWh plant located in Malur, near Bengaluru.

The venture involves an investment of ₹10.5 billion (~$126.9 million) and spans across an 80-acre facility.

The Malur facility, with an initial capacity of 1 GWh, will focus on lithium iron phosphate (LFP) cells and envisages a capacity expansion of up to 5 GWh in subsequent phases.

The company said that at the heart of this endeavor lies the goal of establishing a full-fledged manufacturing unit capable of meeting the burgeoning demand for lithium-ion cells in India and beyond.

The project has secured approval from the Karnataka government’s State High-Level Clearance Committee.

Founder and CEO Chandrakanth Ramalingam said, “Nsure’s full-fledged li-ion cell manufacturing pilot unit will be ready soon, and we are planning to start operations by the end of October this year.”

NSure has forged a partnership with the International Advanced Research Centre for Powder Metallurgy and New Materials (ARCI) under the Department of Science and Technology (DST). The agreement encompasses technical know-how transfer and training.

NSure has chosen the LFP chemistry, favoring it over other alternatives like nickel manganese cobalt (NMC). The company said its strategic choice is underpinned by LFP’s superior thermal stability, rendering battery packs safer and more durable, particularly in India’s tropical climatic conditions.

Moreover, LFP chemistry contributes to enhanced affordability, aligning with NSure’s endeavor to provide cost-effective and efficient energy storage solutions.

Ramalingam said that Nsure’s LFP technology does not involve rare earth metals such as nickel or cobalt, significantly reducing the risk of fire.

A latest Berkeley Lab study has found that India’s edge in renewable generation and the recent discovery of vast lithium reserves, along with deep cost reductions in clean technology, can enable a pathway for cost-effective energy independence by 2047.

In February, the government announced the discovery of 5.9 million tons of lithium reserves for the first time in the country in the Reasi district of Jammu & Kashmir.