Battery Manufacturer A123 Systems suffered a string of negative publicity since it first caused a serious fire hazard recall for the Fisker Karma due to misaligned battery packs. Then, a prototype battery from A123 Systems caused an explosion within the GM Tech Center lab that injured a number of workers. Burdened by the obstacles, financing problems have loomed over the company for the past couple of months. During May filing, A123 Systems reported expected losses for the year.
However, it seems that A123 Systems is ready to bounce back. The company has introduced a new technology today called the Nanophosphate EXT (Extreme Temperature), a potential battery system that could reshape the electric and hybrid vehicle segment.
According to A123, the Nanophosphate EXT innovation can offer, "high power, energy and cycle life capabilities over a wider temperature range." What's more, the Nanophosphate EXT is capable of superior power retention with usage and time. To date, battery cells often require extensive cooling systems in order for the battery to operate properly. During a test conducted at the Center for Automotive Research (CAR) at Ohio State University, the Nanophosphate EXT demonstrated incredible ability to cope in a 110 degree Fahrenheit environment, even after 2,000 full-charge cycles.
Currently, the Nanophosphate EXT is being subjected to cold temperature testing and results have yet to be released. Even so, preliminary data already exhibits 20 percent greater power delivery at -22 degrees Fahrenheit from a Nanophosphate EXT than conventional batteries at A123 Systems. Without the need of complex temperature management systems, a Nanophosphate EXT stand to be more lightweight than both conventional lithium-ion and lead-acid batteries.
According to A123 System's CEO David Vieau, the Nanophosphate EXT offers a combination of solutions. It's a smaller, lighter and less expensive battery that does not require all the technical cooling complexity found in conventional packs. Even though it won't solve all costs issues, Vieau assures Bloomberg that, "it's a step in the right direction."
If A123 Systems can overcome its current financial issues and if it can find the right supporters and investors to bring the Nanophosphate EXT to reality, we're looking at a major breakthrough for the alternative vehicle market.
At today's closing, A123 Systems (AONE) rose 52 percent to $1.58 a share.
If you're up for it, check out A123's video describing Nanophosphates:
