Natron Energy Shutdown Disrupts $1.4bn Battery Project

Natron Energy, a Californian sodium-ion battery maker once seen as a clean energy challenger, has shut down, scrapping plans for a $1.4 billion factory in North Carolina.

The company’s website confirmed its closure, while Sherwood Partners, a restructuring firm, is now expected to oversee the sale of its assets. 

Natron has not responded to requests for comment, but the Raleigh News & Observer reported that the business had been unable to resolve critical funding issues.

Just last year, Natron said it would build a gigafactory in Rocky Mount, North Carolina. The project promised to bring 1,000 jobs and a 1.2 million-square-foot facility capable of producing 14 gigawatts of sodium-ion batteries —a 40-fold rise in manufacturing capacity.

But in a letter sent to Michigan officials on 28 August, the company revealed it would permanently close its facilities in Holland, Michigan, and Santa Clara, California, as of 3 September. Ninety-five employees were affected. 

“Accordingly, Natron is providing this notice…as soon as practicable,” wrote Elizabeth Shober, head of team and talent.

Natron’s board had concluded on 27 August that efforts to raise fresh investment and secure new purchase orders had failed, triggering mass layoffs and closure of the business.

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Founded in 2012, the Santa Clara-based company specialises in sodium-ion technology as an alternative to lithium-ion batteries. 

Its design used a Prussian blue electrode structure, which Natron claimed gave its batteries longer life cycles without relying on costly materials such as lithium, cobalt, or nickel. 

The technology was aimed at industrial users, including data centres, electric vehicle (EV) charging networks, and telecom providers.

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The collapse of the company adds to a growing list of energy storage ventures struggling to survive outside Asia. In June, Oregon-based Powin filed for Chapter 11 bankruptcy before selling its assets to FlexGen Power Systems. 

Swedish battery maker Northvolt also declared bankruptcy earlier this year, citing “rising capital costs, geopolitical instability, and supply chain disruptions.”

Its assets were later sold to California’s Lyten.

Even recycling firms have been hit. Last year, Toronto-based Li-Cycle entered bankruptcy proceedings before Glencore acquired its assets at auction.

The sudden collapse of Natron Energy is a significant blow for North Carolina, as the future of large-scale sodium-ion battery production in the state is now in doubt.

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