Why 6K Energy chose Jackson to build first-of-its-kind battery plant
The world's first plasma cathode factory to produce sustainable battery material, 6K Energy, announced Tuesday a $230 million investment to build a revolutionary manufacturing plant in Jackson.
At a press conference held at theCO in Jackson, members from the Greater Jackson Chamber and 6K representatives spoke about the importance of this first-of-its-kind innovation coming to the city, bringing over 200 jobs. With its low-cost, environmentally conscious approach to producing battery material to be distributed to U.S. supply chains, 6K is leading the charge in the realm of technology.
6K Energy Chief Operating Officer Rob Davies shared further details about the company's operations, environmental practices and efforts to claim a significant place in the U.S. and world market.
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Greater Jackson Chamber President and CEO Kyle Spurgeon noted that 6K represents the third largest, one-time capital investment of manufacturing to come to Jackson.
"It will be one of the most advanced manufacturing operations in this entire state," Spurgeon said.
What is 6K Energy?
Headquartered in Boston and developed as a spinout of Massachusetts Institute of Technology in 2012, Davies explained that the company produces high-quality metal powders through means of plasma technology.
The metal powders are formulated to serve the 3D printing market, but on a much larger scale, the automobile industry. 6K will be serving Ford, General Motors, BMW, Volkswagon, Tesla and numerous other Tier 1 automotive companies.
Though naturally occurring raw materials like lithium, cobalt, and manganese are needed to fulfill 6K's commitment to sustainability, it intends to target the recycled market rather than solely relying on the earth's natural resources.
There is over a 50% savings in manufacturing costs compared to current, conventional processes and the flexibility of the material is unlimited, while still maintaining extraordinarily low environmental impacts including:
90% reduction in water use
70% reduction of CO2 GHG emissions
70% reduction of energy use
Zero solid waste
Zero liquid waste
"When we benchmark our costs against the biggest producer today, which is China, we are still significantly better than the cost of production coming from China," Davies said. "So having domestic production here in the U.S. for U.S. customers, bringing those environmental and sustainability benefits, I think gives us a compelling case to take to our customers."
Reasons 6K chose Jackson as new site
Davies explained that the process of where 6K would build its first plant began six months prior with a list of over 120 cities across the southern U.S. Once the list was boiled down to three locations, 6K found that the financial metrics were seemingly comparable across the final sites.
"What really stood out for us as the 6K team, was the feeling that the Jackson team and the Tennessee team were really on our side," Davies said. "They went over and above our expectations in terms of convincing us that they would be great partners, and they had our success close to their hearts. So that really convinced us to make the decision in favor of coming to Jackson, Tennessee."
Spurgeon further explained that the process for allowing companies to develop in Jackson is a highly selective process on the city and county's end as well. Elements that have been considered include not just the company's investment, but the desire to ensure a higher-average employee wage and the number of jobs it will bring.
"Just like they chose us, we chose them," he said. "There are a lot of companies that have looked at Jackson over the last several years and a lot of them don't fit that model."
The 125,000-square-foot operation will be built at the industrial park in close proximity to the McKellar-Sipes Regional Airport.
Ground is expected to be broken in July of this year, and the first products shall be manufactured in quarter three of 2024 before full-scale production commences in early 2025, according to Davies.
Bringing jobs back to the U.S.
Davies explained that there is both a business incentive with increasing the number of manufacturing jobs in the States, as well as a commercial incentive with the recent push for the electrification of cars.
"It's maybe not a well-known fact that 85% of battery materials today are produced in China," he said. "So there was a strong push in the U.S. political environment to bring that capacity back to the U.S."
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About 230 "good-paying jobs" will come as a result and the hiring process has already commenced, according to Davies.
Partnerships with the Tennessee College of Applied Technology, Jackson State Community College, and Lane College are in the works to provide students an opportunity for internships and apprentice programs at the 6K plant.
Company will boost jobs for underserved
Additionally, 6K has made a commitment to hiring 40% of its employees from disadvantaged communities as well as those with disabled, veteran, or diverse backgrounds.
Madison County Mayor AJ Massey explained the personal importance of this as the first major project for him to be involved in since his election last August.
"We're pleased to have quality folks like 6K in our community, they already feel like a part of the family and that's part of our commitment as a community and as Team Madison County is to not leave them to do their job, but we're going to be at their beck and call for whatever services they need to get up and running."
This article originally appeared on Jackson Sun: Focus on partnership draws 6K Energy batteries to Jackson, Madison Co.
