lg chem to supply gm volt batteries -- sources - 3.7 volt lithium ion battery

* November GM will name Volt battery supplier * first-
On October 22, Detroit Soyoung Kim commented that the power generation voltage drop using LG Chem Battery * GM, LG Chem to discuss the cost of battery warranty * GM, LG Chem, compact power supply A123 (Reuters)-
General Motors Corporation (GM. N)
Choose a unit of South Korea LG Chemical Co. , Ltd (051910. KS)
Lithium supply-
People familiar with the matter said that Chevrolet Volt's ion battery is working on a provision for a supply contract that is expected to be announced in November.
Small electric companies in Detroit
Regional units of LG Chem, as well as continental Germany (CONG. DE)and U. S. -
A123-based systems have been providing battery packs for electric volts.
Volt battery contracts have received close attention, one of the first tests to adapt to the challenge of the popular lithium-ion batteries in the consumer electronics field for a new generation of electric vehicles. The 400-
The pound-class battery pack designed for Volt is expected to be the most expensive part of the rechargeable car and its most important components.
Voltage is expected to be the first mass-market, plug-
When the hybrid was launched in 2010.
It has also become a symbol of GM's efforts to reinvent itself, at a time when GM's sales are declining and its ability to survive the recession has been censored.
GM and Compact Power are now discussing the details of the commercial agreement, including how to share the warranty cost of the battery, and according to two people familiar with the talks, they asked not to be named, because they're not authorized to talk High. profile deal.
Most of the Volt prototypes that GM is testing are running using LG Chem batteries, sources said, adding that the prototypes continue to run without any glitches.
Although LG Chem is now close to the final deal for the first deal
Sources say GM has the option to keep continental consortia working on battery development for future versions to reduce costs and improve the performance of expensive batteries.
A gm spokesman said a final decision on battery suppliers had not yet been made and reiterated the decision expected to be announced by the end of this year.
A lg spokesman in Seoul said: "We were told that the results will be announced on November, but we have not received any official reply from GM.
We hope and look forward to a good result.
GM Vice Chairman Bob Lutz has been leading the development of Volt since the launch of the concept version in January 2007, and it is reported that GM has made a decision on suppliers in August, but is not ready to announce it.
Continental and A123 did not comment immediately.
Compact Power declined to comment.
GM is designing Volt, which can run 40 miles at a single charge and can charge overnight on standard sockets. An on-board 1.
The 4-liter gasoline engine will start on a longer journey to generate power for the battery.
Unlike traditional hybrid vehicles such as Toyota Motor Corporation (7203. T)
Prius is powered by a battery or gas engine in turn, depending on driving conditions, and Volt will only be powered by its more powerful, larger battery.
In September, GM Chief Executive Rick Wagoner showed off a mass production version of the Volt, which is scheduled to be released in November 2010.
Analysts estimate lithium
The ion battery pack will add up to $10,000 to the price of the car, raising the question of how affordable the first generation of cars like Volt are.
GM is expected to produce 10,000 v cars in the first 12 months of production and increase production to 60,000 vehicles per year over time.
Last month, the United StatesS.
Government-approved plug-in tax relief up to $7,500
In a hybrid like Volt(
Additional reports by Kevin Krolicki in Detroit and Angela Moon in Seoul;
Edited by Andre Grenon)