Battery Innovation Center

Public-Private Partnership for Energy System Development

December 2013

Defense Advisory Panel Calls for Expanded Use of Public-Private Collaborations

The Defense Department should expand and encourage the use of "public-private collaborations" by establishing policies that facilitate partnerships between senior leaders and private-sector entities -- formal mechanisms to allow the Pentagon to leverage the resources and expertise of outside groups in support of a given mission, according to the Defense Business Board. "Public-Private Collaborations will add both resources and options to assist the Department of Defense in addressing new, leading edge, hard and soft power challenges not yet identified or conceived.”

- Department of Defense, Defense Business Board, Advisory Task Force, July 19, 2012

Partnership Model Development

Indiana Energy Project Development

Over the past three years Indiana Economic Development Leaders, in close partnership with Purdue University and NSWC Crane, has hosted a series of meetings/discussions and two collaborative workshops with leadership from:

• Three research universities (Purdue University, University of Notre Dame, and Indiana University-Purdue University Indianapolis),

• Leaders from the battery, transportation, and energy industries (EnerDel, Delphi, Cummins, Altairnano, SAIC, URS, Duke Energy),

• The Navy center of excellence in Batteries, Power, and Energy (NSWC Crane) and other senior DoD officials

• Local, regional, and state government and economic development organizations (State of Indiana, IEDC, RADIUS, Crane West Gate Technology Park Authority).

Project Steering Committee worked for six months holding weekly meetings and overseeing a contract with Waters & Associates to develop a business plan and achieve buy-in from prospective partners to develop a collaboration model focused on the energy storage and energy management technology segment.

Organizational Vision Statement

The Battery Innovation Center incorporates leadership from world-class universities, commercial enterprises, and government organizations to focus on the rapid development, testing and commercialization of safe, reliable, and lightweight energy storage systems for commercial and defense customers.

Desired End state for Public – Private Partnership:

- Accelerate new technologies to meet Industry and DoD needs

- Act as an Industry focal point with DoD/DoE Labs and Academia

- Fully leverage DoD/DoE tech transfer opportunities for Industry

- Enhance DoD acquisition models through consortium based R&D

- Enhance Indiana’s support for DoD/Navy Mission

- Provide a surge capability to NSWC Crane to meet “Urgent DoD Needs”

- “Trusted” source of energy storage capability for sensitive applications

Organizational Structure Legal Status - Not for profit Organization - 501(C)6 and 501(C)3 (with affiliated C-Corp) - Representing a consortium of dues paying members - Currently 14 Members - Tiered membership fees supporting Small Business

Board of Directors 4 Permanent Board Directors

ESN IEDC Radius (8 County ED Organization) NSWC Crane (non-voting advisor)

2 “At-large” Board Seats EaglePicher Penn State University – Electro Optic Center

BIC Staff Early Hiring - Executive Director - Lead Engineer - Lead technician - Business/marketing/EA - Production and Testing SME’s arriving in Nov. 2013

Approximately 30 technical staff when fully operational

Non- Profit 501C6 501C3

Membership Dues

DoD Contracts

For-Profit C-Corp

R&D Efforts

Testing and Evaluation

Product Dev Services

FEDERAL LAB

(CRANE)

Partnership Intermediary Agreement (PIA)

Cooperative R&D Agreement (CRADA)

Personnel Executive Staff

Executive Director (1)

Technical Director (1)

Director of Business Development (1)

Executive Assistant (1)

Battery Cell Development and Test Personnel Testing Program Manager (1) Cell Test Engineer (1) Module/Pack Cycling Engineer (2x) Systems/Electronics Engineer (1) Technicians (4x) Battery Pack Development Personnel Mini-Module Lead Engineer (1) Battery Pack Lead Engineer (1) Systems / Electronics Engineer (1) Systems / Mechanical Engineer (1) Test Engineer (1) Manufacturing Engineer (2) Industrial Engineer (1) Controls Engineer (1) Technicians (4x) CAE (1) Sr. Design (1) CAD (2) TOTAL: 30 FTEs (funded via lab direct work)

Battery Innovation Center Members

Membership:

– 14 current members and growing

Ivy Tech Concurrent Technologies Corporation (CTC)

Penn State Technical Services Corporation (TSC)

Purdue Science Applications International Corporation (SAIC)

AeroVironment MEGTEC

EaglePicher Stimulus Engineering

Renewz Eaton Corporation

Raydar, Inc Indy Power

Significant Government Partners:

• Naval Surface Warfare Center Crane

– Active Partnership Intermediary Agreement (PIA) – Active Cooperative Research and Development Agreement (CRADA) with 2 active

statements of work (SOW)

• Argonne National Lab (ANL): Critical Affiliate of ANL Lead Joint Center for Energy Storage Research (JCESR)

Business Revenue Structure

• Industry/Academia R&D, Testing, Validation/Certification - Joint as well as individual projects - Broad R&D Focus - Facility use for individual member funded projects - 40% of business base • Federal Program (DoE/DoD/NIH) Sponsored R&D (Grants/SBIR/STTR) - Develop a “mature” process for sustainable funding - Energy storage and energy management focus - Examples include Electric Vehicles, Grid Mgmt. Technology, alternative energy management, etc - 40% of business base • Technology Proofing as an EDA Proof of Concept Center

- Self sustaining funds via “pay-it-forward” donations - New technology proofing for economic development - Potential continued state funding via IEDC Grants - 20% of business base

Proof of Concept Center Focus • The BIC has additionally focused its Business Model to serve as a

Department of Commerce, Economic Development Agency (EDA) “Proof of Concept Center” - Awarded Grant October 2012

- The BIC will serve to:

Provide Integrated Business Start-up support for new and emerging Technologies

Business “Mentoring” for Small Businesses Work with Government Labs and Academia to accelerate

research and tech Transfer to Small Business and Startups Assist with technology validation and “Proofing” to provide

“ready for market” commercial solutions Connect Small Business with Venture Capital Assist with Vetting of SIBR’s, BAA’s, etc Create “partnership” opportunities via BIC membership

(includes research and training)

Proof of Concept Center (Cont.)

- Preparations for $2M Grant (funding Oct. 2013)

Working with Academia to develop new methodology for IP management/transition

Partnering with academia for research and training Identifying businesses with technologies for Proofing (three

to be selected) Identify Business Development Partners and develop

leveraged process for “Mentoring” Develop Investor portfolio and process for project screening.

(Elevate, TAP, REAP, Etc…)

Prove Process can be self sustaining by industry

BIC Energy Ecosystem - Renewable Innovation -

Startups

Spinoffs New

Ventures

Industry

Academia Govt Labs

Seed: - Angel - Founders - Incubators - IEDC

Series A: - VC

Latter Stages: - Industry - VC - Corp Capital

New Products

New IP

Joint Ventures Partnering

Spinoffs

New Ideas

BIC

•TAP •SCORE •Elevate (REAP) •Cook Ctr •LEDO

•Business Mentoring •Business Development

Market

Ready

Products

Growth: -Revenues -Mfg. Jobs -Economic

•Focused Investment

Risk Lens: •Technical •Market •Capability •Viable Business

New Market Needs

Gov. Grants: - DoD - NIH - DOE

Startup Business

Mature Business

BEST IDEAS

Selection review using BIC, VC, Govt labs, Academia, etc…

Proof of Concept And Partnering

R&D and Commercialization Capabilities

Research (basic)

Research (applied)

Elementary cell concept

Electronic Control

Pack Systems Engineering

Low Volume Manufacturing

Field Service & Support

Cell Mfg

Cell R&D

Pack Testing & Certification

Commercial

DoD

Academia

The Power of Leverage (small sample of assets)

Electrochemical Testing Equipment

Scribner 100 channel Multi-array

Potentiostat

16 channel BT2000 Arbin battery

testing 25 channel Nuvant

Arraystat, 2

24 linear ft. of <1 ppm H2O, <1 ppm

O2 dedicated glovebox

$70M, state-of-the-art, Stinson-Remick

Engineering Building

w/research labs 9,000 sq. ft. class 100/1,000/10,000

cleanroom

$3.3M Vistec EBPG 5200 e-

beam lithography

ND Nanofabrication Facility (NDNF)

Arbin BT2000, 8 and BTG-25, 32 Channel Battery

Testers

Solartron, 1470E1455 8

channel Potenstat/AC Impedance

Glovebox, Mbraun, Unilab 2000/780

Quantachrome, ASAP2020 Gas

Adsorption Analyzer

Bench-Top Precision

Automatic Heating Rolling Press

FUJI Vaccum Sealer (pouch cells)

Cramping machine for coin cells

CHI610D Electrochemical

Analyzer

Asylum Research 3-D Atomic Force

Microscope (AFM)

Omicron Multi-Technique Surface

Analysis Cluster Tool

Kratos Imaging X-Ray Photoemission Spectrometer (XPS)

Near-Field Scanning Optical

Microscope (NSOM)

Pulsed Laser Deposition System

Laser-Based Microfluidic

Analysis System

Epigress VP-508 Horizontal Hot-

Wall CVD Reactor

Shielded Micromanipulator Probe Stations (6)

40-foot drop tests

Electrical performanc

e and safety tests

Crush testing

Extreme heat

exposure

Rupture testing

40,000 force- pound vibration

testing

Acceleration testing up to 200 pounds

at 300 Gs

26,000 square-foot testing

facility

50+ engineering

and technical staff members

lithium-ion, lithium-polymer, lithium thermal,

and lithium oxyhalide

Brick and Mortar Facilitization of Model

Location leverages access to NSWC Crane facilities and provides a secure location for business confidential and IP sensitive work with access to large bay TS/SCI facility.

Sited near new training academy/ conference center. (opened Oct 2012)

Facility constructed and owned by lead developer and funded by county municipal bond effort. Leased to BIC. Lease includes capital equipment and tooling. Detailed Design-Build process used to insure member inputs incorporated into needed capabilities . Construction Start (groundbreaking) 20 August 2012. Building Dedication 30 August 2013.

Facility Capability Overview • BIC Facility Floor Space:

– 26,000 sqft lab area

– 6,000 sqft staging, external equip, offices

• Cell Development and Mfr (supporting 300 cells/Mo)

– Mixing: 1-2 kg

– Coating

– Film Line with dryer

– Calendar

– Dry room

– Cutting and slitting

– Stacking / Winding

– Packaging

– Filling

– Formation & Degas

• Cell and Battery Pack Testing

- 200 cell test channels (modular and expandable to achieve 1000 channels)

- 2 AV-900’s for high power applications

- 8 module size units (cycling with MT-30’s)

- 8 pack size units (cycling with ABC-170’s)

- Thermal chambers (8 – 8 cu ft chambers)

(1 – 512 cu ft “walk-in” chamber)

- Humidity Chamber and Altitude Chamber

• Power Electronics lab & System Integration Area

• Multiple Dry Rooms for Li Ion fabrication

processes (Prismatic, Cylindrical, and Coin

format cells) as well as Laser operations

• Green Energy Sources, Large format energy storage device (1 MW), and integration capability for MicroGrid Operational Testing/Evaluation

BIC MicroGrid Capabilities

Large Grid Storage Device (approx. 1MW)

Solar Array with integrated EV Charging

Low Velocity/High efficiency Wind Turbines

Facility Designed with access to over 6 MW’s of available Power (MISO Energy HV Node)

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Li Ion Prototype Manufacturing Capability

42

BIC On-Site Test and Evaluation Capability

LASER Lab Consortium Partner Penn State; Ultra-Short Pulse LASER for machining with minimal thermal damage and sub-micron precision; ability to generate morphology changes within materials used in battery manufacturing i.e. greater surface area could lead to faster charge times

Leveraged NSWC Crane Test Capabilities

Extreme Environmental testing

Current BIC Projects - Joint projects with NSWC Crane to design, manufacture and test new Li Ion

cells.

- Joint project with NSWC Crane and AeroVironment to develop and test large battery array capability for MicroGrids, grid arrays and submarine batteries.

- Technology demonstration projects (three to be selected) under a $2M EDA Grant (Grant plus matching funds). (Academia supplied researchers)

- Supporting Affiliate Member of Argonne National Lab (ANL) in execution of its Joint Center for Energy Storage Research ("JCESR").

- Awaiting selection on multiple DoE and DoD Grant. (Navitas, RayDar, Altairnano, etc… Leverage Academia for Applied Research Projects)

- Partnering with Ivy Tech to provide Electrical Engineering Technologies (EET) Degree Program at WestGate.

- Partnering with Purdue to deliver a Master’s Degree program in Energy Storage Systems available only at WestGate.

- Developing work forecasts from BIC members for 2013 and 2014 execution.

IndyGo Partnership for EV Bus Development

Development of EV Bus Battery System • Battery specification for Procurement

• Battery Certification Standards

• Battery test and evaluation program development for acceptance testing

• BIC as an independent test and evaluation center for product acceptance

Team Approach • Leverage Penn State University Bus Certification

program expertise

• Industry partners as part of the technology evaluation team to develop specifications

• Define Test and Evaluation Program

• Utilize CRADA with NSWC Crane for abusive high energy test and evaluation

• Work with SAE for development of standardized testing requirements

Next Steps • Develop Rough Order of magnitude quote

• Develop Team for Specification definition phase

Develop Grid Array Test Capability • CRADA Project with NSWC Crane • Leverages AV900’s from BIC, NSWC

Crane, and AeroVironment • Crane provided 100 Cell Array • Uses TSC developed lab control

system for 1 MW of charge/discharge capability

• Currently bussing Battery ($63K of copper!!)

Desired results: • Ability to charge and discharge

1 MW for battery evaluations • Demonstrate real battery

charging and discharge profiles for Battery management system test and evaluation

• Sufficient lay down area for up to 400 large cells

• Scalable capability for 3 MWs

Large Grid Array Test and Evaluation Project

CRADA Follow on Projects

OHIO Replacement Program (ORP)

• NSWC to design next generation BMS for ORP

• Development in FY14 • Demonstration in FY15 • Test Bed for future ship

modernization programs • Supports three ship classes • BIC can provide critical

support for all of these critical design/build programs

Large Scale Grid Array Test Capability

• Multi-Megawatt evaluation capability

• Suitable for stem certifications

• Energy Agreements in place with Hoosier Energy

OHIO Class Submarine (Developed 1980’s)

Project Opportunity:

Military Base Microgrid

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Overview: • Initial focus will be on land based military bases • NSWC Crane and/or Camp Atterbury/Muscatatuck Urban Warfare Training Center can serve as the proof-of-concept • Goal is to develop a “plug-and-play” microgrid solution capable of ensuring energy security to critical assets

• Multiple fuel powered microgrid, e.g. blend fossil fuels and renewables with storage • Microgrid part of “Smart” utility grid system to enhance efficiency and energy flow optimization • Innovative wholesale market integration with RTO/ISO for demand response, frequency regulation, energy market

• Project must be scalable and marketable to multiple environments (industrial, cities, etc.)

ESN Proprietary© ENERGY SYSTEMS NETWORK BOARD OF DIRECTORS MEETING

Project Definition: Develop a highly efficient microgrid that is grid connected, islandable, and commercially scalable.

PHASE 0: YEAR 1 PHASE 1: YEAR 2 PHASE 2: YEAR 3

• Project/Market analysis • Select partners, site demo • Secure funding

• Project demonstration at proof-of-concept site • Market system to target bases

• Continue marketing / deployment at multiple bases or markets

Project Timeline:

Project Details:

GOALS SCALE AND IMPACT POTENTIAL MARKETS PARTNERS FUNDING

• Integrated system ROI at cost parity to traditional generation

• Must ensure cyber security • Improve mission effectiveness • Enable interoperability • Leverage smart grid architecture to

enable microgrid functionality • Establish clear decision protocol for

islanding in coordination with utility and regional transmission operator

• Must be able to validate and monetize energy savings and energy security benefits

• Various fixed base sizes • Ensure operability of

mission critical assets • Create market for MDR • Expandable to

microgrids for cities/towns, campuses, and other critical assets

• Military (allies/coalition) • Campus environment,

e.g. hospitals, universities, large corporations

• Potential for deployment in developing nations and disaster relief, MDR

• Cities and towns • Islands

Current • Duke • Cummins • MISO • BIC • ITOCHU • Toshiba • Purdue • State of Ind.

• DoD/DOE • Private

capital • Utilities via

PUC recovery

• ESCO or PC • SBIR / DOD • Rural dev.

funds

Potential • DoD/DOE/DHS • FEMA • State

department • Service

academy • PUC • Smart grid/

telecomm – Verizon, Cisco, Echelon, Alston, etc.

Next Generation Generator Testing

Go Electric and MES, Inc. Generators Tests

• Multiple opportunity to test generators for Micro Grid and Grid tie applications

• Various sized generators (100KW-750KW)

• Includes Sync Inverter Certification

• Applications also provide variable reactive loads (+/- 250 KVAR)

• Leverages BIC Power generation Agreement with Hoosier Energy

• May also involve large grid array integration

Next Steps • Developing testing quote

• Defining test with Hoosier Energy

• Developing generator installation plan

Energy System Upgrades for ADDCO Systems

John Thomas Group System Upgrades

• Desire to incorporate new energy storage opportunities

• Involves both new energy storage devices as well as next generation battery management designs

• Energy systems to be integrated into a family of autonomous roadside construction support products

Next Steps

• Developing quote

• Assembling proposed design Team

• ADDCO developing business plan for system upgrades for BOD presentation

Additional Business Opportunities

Battery Test and Evaluation • Advance Battery Concepts (GreenSeal

bipolar lead/Acid tests)

• Navitas experimental cell testing

• Cummins battery testing

• NSWC Crane prototype EV battery testing

• Echo Automotive new product battery testing

• Potential cell/battery testing opportunities flowing from cell Mfr

Battery Prototype Production • Rochester Institute of Technology

• IU Research/Technology Corporation

• Ultralife Corporation

• Sinode Systems

• Nohms

• InvenTek Corporation

• AMPS Inc.

• Indy Power

• OnTo Technologies

Developing business capture plans for revenue opportunities totaling over $12M

Member Benefits - Use of State-of-Art BIC Innovation Lab

- Use of BIC Partnership with NSWC Crane to rapidly access one-of-a-kind High Energy and environmental Energy System Testing

- Access to Members Facilities and knowledge (SME’s) (partnerships)

- World Class Energy System design, manufacturing, testing, and marketing experience

- Access to Crane IP (directly applicable and related to Energy Systems)

- Partnerships for new and developing critical technologies

- Ability to jointly leverage DoD funded 219 R&D projects

- Excellent Third Party Validation and IP Protection

- Developed specialized training curriculums that supports resident technologies

- Identifying projects desired for technology development (gap development)

- Participation and steering of Energy System Technology “roadmap activities”

- Joint Environment for R&D, DoD Acquisition, technology development, and Commercialization (Consortium based R&D)

Member Benefits (cont.)

- Enhance Communication for Energy Technologies • Rapid Access to information derived from the BIC’s

participation in the DOE Energy Storage Hub • Direct connection with National DoE Energy Systems Efforts • Rapid communication of current R&D projects occurring

across the country • IP mining of power and related areas at Crane (Identification

of innovation opportunities) • Commercialization workshops on Crane technologies • Technical and capability information newsletters

- Strong Advocacy and Representation in the Energy Systems Industry

Questions? Contact

Charles LaSota: Charles.LaSota@BICIndiana.com

812-863-2424 ext 210

Or

Julie Weber

Julie.Weber@BICIndiana.com

812-863-2424 ext 211