Amprius Secured U.S. Army xTechPrime Award to Develop High-Energy Batteries with Reduced Weight and Double the Endurance

Rhea-AI Summary

Amprius Technologies (NYSE: AMPX) has been awarded a $1.9 million contract by the U.S. Army to develop a large form factor 500 Wh/kg SiMaxx™ high-energy cell for electric mobility applications in the defense sector. This 18-month project is part of the xTechPrime Competition, where Amprius partnered with AeroVironment (AV) for AV's high altitude pseudo satellite (HAPS). The 500 Wh/kg SiMaxx cell offers double the energy of conventional cells, providing approximately 1300 Wh/L. This marks Amprius' tenth collaboration with the Department of Defense, highlighting the growing demand for their next-generation battery solutions in military applications.

Positive

• Secured a $1.9 million contract from the U.S. Army for battery development
• Selected for the xTechPrime Competition, indicating strong market position
• Partnered with AeroVironment for high-altitude pseudo satellite applications
• Developed 500 Wh/kg SiMaxx cell with double the energy of conventional cells
• Tenth collaboration with the Department of Defense, showing consistent demand

Negative

• None.

Defense Technology Analyst

Amprius Technologies' $1.9 million contract from the U.S. Army for developing a 500 Wh/kg SiMaxx™ high-energy cell marks a significant advancement in military battery technology. This development could revolutionize electric mobility applications in the defense sector, potentially doubling mission endurance and range.

The key implications of this contract are:

• Enhanced operational capabilities: The 500 Wh/kg energy density is approximately double that of conventional cells, which could dramatically extend the operational time of various military equipment.
• Weight reduction: Lighter batteries mean increased payload capacity or improved maneuverability for vehicles and drones.
• Supply chain strengthening: This contract contributes to bolstering the U.S. domestic supply chain for critical defense technologies.
• Dual-use potential: While developed for military applications, this technology could eventually find its way into civilian markets, benefiting sectors like electric vehicles and consumer electronics.

The partnership with AeroVironment for high-altitude pseudo-satellites (HAPS) further underscores the versatility and potential of Amprius' technology. This collaboration could lead to breakthroughs in persistent aerial surveillance and communication platforms, important for both military and civilian applications.

However, investors should note that the $1.9 million contract, while significant for technology development, may not have an immediate material impact on Amprius' financials. The real value lies in the potential for larger future contracts and the validation of Amprius' technology by a high-profile customer like the U.S. Army.

Energy Storage Specialist

Amprius' 500 Wh/kg SiMaxx™ cell represents a quantum leap in lithium-ion battery technology. To put this in perspective, most commercial lithium-ion batteries today offer energy densities between 100-265 Wh/kg. Achieving 500 Wh/kg is not just an incremental improvement; it's a game-changer that could redefine energy storage across multiple industries.

Key technical aspects to consider:

• Silicon Anode Platform: Amprius' proprietary technology likely uses silicon instead of traditional graphite anodes, allowing for much higher energy density.
• Scalability: The challenge now is to scale this technology from prototype to mass production while maintaining performance and safety standards.
• Cycle life and degradation: High-energy-density batteries often struggle with longevity. Investors should watch for data on cycle life and capacity retention over time.
• Thermal management: Higher energy density can lead to increased heat generation. Effective thermal management will be important for safety and performance.

The verification by Mobile Power Solutions adds credibility to Amprius' claims. However, the true test will be in real-world military applications, which are often more demanding than laboratory conditions.

If Amprius can successfully scale this technology, it could position itself as a leader not just in military applications, but potentially in the broader energy storage market. This could open doors to partnerships or contracts in sectors like electric vehicles, aerospace and grid storage.

Awarded $1.9 Million Contract for its 500 Wh/kg SiMaxx™ Cell to Support Department of Defense Applications

FREMONT, Calif.--(BUSINESS WIRE)-- Amprius Technologies, Inc. (“Amprius” or the “Company”) (NYSE: AMPX), a leader in next-generation lithium-ion batteries with its Silicon Anode Platform, today announced that it was selected by the U.S. Army to develop a large form factor 500 Wh/kg SiMaxx™ high-energy cell for electric mobility applications in the defense sector. The $1.9 million contract that comes with the award will be used over the next 18 months to create the large form factor prototype 500 Wh/kg SiMaxx cell.

Amprius secured U.S. Army xTechPrime award to develop high-energy batteries with reduced weight and double the endurance. (Photo: Business Wire)

“Winning the competition not only signifies Amprius’ continued collaboration with the Department of Defense through our tenth program together, but it also positions us to revolutionize military applications with our groundbreaking 500 Wh/kg SiMaxx cell,” said Dr. Kang Sun, CEO of Amprius. “The interest we have secured from multiple national defense customers underscores the market need for our next-generation battery solutions. We’re honored to be chosen for the U.S. Army xTechPrime contract and look forward to providing the innovative battery technology needed to greatly improve mission time and range for critical military applications.”

The xTechPrime Competition, held from April through June, challenged small businesses to work together in teams with technology integrators to submit innovative solutions that can contribute to the U.S. Army’s modernization goals. Amprius partnered with AeroVironment (AV) as the technology integrator for AV’s high altitude pseudo satellite (HAPS) that competed in the Autonomy Technology Ecosystem category. AV has developed solar-powered stratospheric platforms for decades, most recently being a new version of HAPS for a government customer.

“Amprius’ 500 Wh/kg SiMaxx cell provides the energy density required to enable broad application objectives on our solar HAPS performance roadmap,” said Dex Halpin, Vice President and General Manager of AV’s HAPS division. “Our partnership with Amprius allows AV to field our solar stratospheric platforms with the highest payload capability in its class: 150 lb mass and 1500W continuous power. The SiMaxx cell’s proven performance gives us confidence that our partnership with Amprius will help expand our solar platforms’ performance and payload capabilities for government and commercial customers.”

Amprius’ industry-leading 500 Wh/kg, 1300 Wh/L SiMaxx cell has been verified by Mobile Power Solutions and provides approximately double the energy compared to conventional cells. The continued partnership with the Department of Defense accelerates the development of critical capabilities and strengthens the U.S. supply chain.

Learn more about the companies selected for the xTechPrime competition award contracts here.

For more information, please visit the Company’s investor relations website at ir.amprius.com.

About Amprius Technologies, Inc.

Amprius Technologies, Inc. is a leading manufacturer of high-energy and high-power lithium-ion batteries, producing the industry’s highest-known energy density cells. The company’s commercially available SiMaxx™ batteries deliver up to 450 Wh/kg and 1,150 Wh/L, with third-party validation of 500Wh/kg and 1,300 Wh/L. Amprius expanded its product portfolio to include the SiCore™ platform in 2024, significantly enhancing its ability to serve additional customer applications. The company’s corporate headquarters is in Fremont, California, where it maintains an R&D lab and a MWh scale manufacturing facility for the fabrication of silicon anodes and cells. To serve customer demand, Amprius entered into several agreements to secure over 500MW/h of contract manufacturing available today and entered into a lease agreement for a GWh scale facility in Brighton, Colorado. For additional information, please visit amprius.com. Also, see the company’s LinkedIn and Twitter pages.

About AeroVironment, Inc.

AeroVironment (NASDAQ: AVAV) is a global leader in intelligent multi-domain robotic systems, uncrewed aircraft and ground systems, sensors, software analytics, and connectivity. Headquartered in Arlington, Virginia, AeroVironment delivers actionable intelligence so our customers can proceed with certainty. For more information, visit www.avinc.com.

Forward-Looking Statements

This press release includes “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, each as amended. Forward-looking statements may be identified by the use of words such as “estimate,” “plan,” “project,” “forecast,” “intend,” “expect,” “anticipate,” “believe,” “seek” or other similar expressions that predict or indicate future events or trends or that are not statements of historical matters. These forward-looking statements include, but are not limited to, statements regarding the performance and applications of Amprius’ batteries and the benefits of Amprius’ continued partnership with the Department of Defense. These statements are based on various assumptions, whether or not identified in this press release, and on the current expectations of Amprius’ management and are not predictions of actual performance. Actual results could differ materially from these forward-looking statements as a result of certain risks and uncertainties. These forward-looking statements are subject to a number of risks and uncertainties, including Amprius’ liquidity position; risks related to the rollout of Amprius’ business and the timing of expected business milestones; Amprius’ ability to commercially produce high performing batteries; the effects of competition on Amprius’ business; supply shortages in the materials necessary for the production of Amprius’ products; and changes in domestic and foreign business, market, financial, political and legal conditions. For more information on these risks and uncertainties that may impact the operations and projections discussed herein can be found in the documents we filed from time to time with the Securities and Exchange Commission (the “SEC”), all of which are available on the SEC’s website at www.sec.gov. There may be additional risks that Amprius does not presently know or that Amprius currently believes are immaterial that could also cause actual results to differ from those contained in the forward-looking statements. In addition, forward-looking statements reflect Amprius’ expectations, plans or forecasts of future events and views as of the date of this press release. These forward-looking statements should not be relied upon as representing Amprius’ assessments as of any date subsequent to the date of this press release. Accordingly, undue reliance should not be placed upon the forward-looking statements. Except as required by law, Amprius specifically disclaims any obligation to update any forward-looking statements.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240730144484/en/

Investors

Tom Colton, Greg Bradbury

Gateway Group, Inc.

949-574-3860

IR@amprius.com

Media

Zach Kadletz, Brenlyn Motlagh

Gateway Group, Inc.

949-574-3860

Amprius@Gateway-grp.com

Source: Amprius Technologies, Inc.

FAQ

What is the value of the contract Amprius Technologies (AMPX) received from the U.S. Army?

Amprius Technologies (AMPX) received a $1.9 million contract from the U.S. Army to develop a large form factor 500 Wh/kg SiMaxx™ high-energy cell.

What is the energy density of Amprius Technologies' (AMPX) SiMaxx cell?

Amprius Technologies' (AMPX) SiMaxx cell offers 500 Wh/kg and 1300 Wh/L energy density, which is approximately double the energy of conventional cells.

Who did Amprius Technologies (AMPX) partner with for the xTechPrime Competition?

Amprius Technologies (AMPX) partnered with AeroVironment (AV) as the technology integrator for AV's high altitude pseudo satellite (HAPS) in the xTechPrime Competition.

How many collaborations has Amprius Technologies (AMPX) had with the Department of Defense?

This contract marks Amprius Technologies' (AMPX) tenth collaboration with the Department of Defense, indicating consistent demand for their battery solutions in military applications.