Ann: LIS signs collaboration agreement for defence testing, page-4

Li-S Energy’s GEN3 semi-solid-state lithium-sulfur batteries are highly suitable for defense applications, particularly one-way missions seen in conflicts like Ukraine and Iran, where drones and munitions are used once without recharging. Recharge and refresh data are less critical in these scenarios, as batteries are expended in a single use, shifting focus to high energy density, lightweight design, and safety under damage. With an energy density of 498 Wh/kg on first discharge and 456 Wh/kg after formation, Li-S batteries outperform lithium-ion alternatives (150-250 Wh/kg), enabling longer ranges and heavier payloads for drones. Their lightweight sulfur-based cathodes enhance portability, while nail penetration tests demonstrate no thermal runaway or loss of function, ensuring safety in harsh conditions.

• Defense Market Fit: The single-use nature of one-way missions aligns with Li-S batteries’ strengths, bypassing cycle life limitations and accelerating adoption in defense.

• High Energy Density: Achieving 498 Wh/kg positions Li-S Energy as a leader, meeting urgent defense needs for longer-lasting, lightweight power sources.

• Proven Safety: Passing rigorous safety tests (UL2271, UL2580, MIL-PRF-32383/4X) with no thermal runaway enhances trust and regulatory approval potential.

• Scalable Production: Li-S Energy’s 2 MWh pilot facility and plans for a 6 GWh plant signal readiness to scale, supporting rapid commercialization.

• Abundant Materials: Using sulfur, a low-cost and abundant material, reduces supply chain risks, facilitating faster market entry compared to cobalt-dependent lithium-ion batteries.
  
  Not sure the market is pricing in these types of drones.