PowerCo awards major construction contracts for EV battery plant in Ont.

PowerCo Canada has awarded two major contracts for the St. Thomas gigafactory, securing agreements for both structural steel and foundations for the project’s first cell production building and critical works.

In a press release on Aug. 21, PowerCo announced it will partner with Steelcon Group of Companies, a Canadian-owned and operated entity, for the structural steel work. For vital foundations work, PowerCo has awarded a contract to Magil Construction Canada Inc, another Canadian-owned company.

The groundbreaking at the site of what will be Canada’s largest EV battery manufacturing plant is set for the coming weeks.

“Today’s announcement marks another pivotal moment for the St. Thomas gigafactory, propelling the project into its next phase”, said Frank Blome, CEO of PowerCo SE. “The St. Thomas gigafactory is a cornerstone in our ambition to build a global cell company with strong roots in Europe and North America, safeguarding direct access to one of the key technologies of the 21st century. By leveraging innovative and skilled local expertise, St. Thomas will strengthen Canada’s position in the global EV battery manufacturing industry.”

Steelcon says it will deploy a team of over 500 Canadian employees directly on the project, including more than 30 from the surrounding London and Southwestern Ontario region.

“We are proud to partner with PowerCo Canada to build the St. Thomas gigafactory, a project that embodies the future of Canadian industry,” said Danny Bianco, President Steelcon Group of Companies. “Our team of skilled Canadian fabricators is ready to deliver, and we are especially proud to contribute to a project that will support significant local employment and drive economic growth here in Ontario.”

The foundations work set to be delivered by Magil Construction Canada Inc. is reportedly one of the largest foundation packages to date in Southwestern Ontario. It includes construction of foundations for three buildings at the St. Thomas site, encompassing a total floor area of 850,000 square feet. The first concrete pour is anticipated in the coming weeks and will set the pace for the continued rapid progress to build the gigafactory.

“Magil Construction has a nearly 80-year legacy of building with vision, and we are thrilled to bring that expertise to such a landmark project in St. Thomas,” said Paul Henke, President at Magil Construction Canada Inc. “Our commitment to working with local trades and suppliers means this project will be built by the community, for the community, laying the groundwork for economic prosperity and job creation across Southwestern Ontario.”

This announcement follows the kickoff of PowerCo’s large recruitment campaign to fill hundreds of jobs at the gigafactory this year. The company says that once fully operational, the plant will support thousands of direct and indirect jobs in the region.