Panasonic Energy has signed a binding term sheet and initiated discussions with New Delhi-headquartered IndianOil to potentially form a joint venture to manufacture cylindrical lithium-ion batteries in India. 

Driven by anticipated expansion of the country’s battery demand, the two companies will conduct a feasibility study to finalize details of their collaboration by summer.

The country’s largest state-owned oil production company, IndianOil has in recent years been developing clean energy sources, including solar power, biofuels and hydrogen.

Through its partnership with IndianOil, Panasonic Energy intends to contribute to the establishment of a complete supply chain ecosystem in India and to the growth of its lithium-ion battery industry by enhancing cell technology and creating domestic demand for raw materials and new entrants.

Source: Panasonic Energy