The 1,551-acre Glendale site, which sits adjacent to Interstate 65 and the CSX rail line, runs along what is called “Auto Alley” and will be submitted as part of NAATBatt’s application to the US Department of Energy.

Under the federal stimulus plan, the Obama administration has set aside $2 billion for electric drive vehicle battery and component manufacturing projects. President Obama has specifically noted the importance of developing lithium-ion batteries to ensure that the United States plays a central role in producing the next generation of clean technology automobiles.

If successful in securing federal funding, NAATBatt would establish a manufacturing campus in Glendale, which would consist of a headquarters facility, a manufacturing facility used to refine products and production processes, and a larger operation designed for mass battery manufacturing. Total square footage of the campus is expected to reach 1 million square feet.

NAATBatt plans to develop a large scale “flexible manufacturing” facility that will contract to manufacture Li-Ion battery cells of various chemistries, formats and designs for multiple battery companies.

NAATBatt will provide US cell manufacturers of all sizes and stages of development with access to a national resource, which they may use to enter the Li-Ion market.

Production lines in both manufacturing facilities would house state-of-the-art equipment with flexibility to pursue multiple production ideas and products at one time. Alliance members would have the ability to run trials to demonstrate and validate their own technology on a cost-share basis with the rest of the alliance.

The NAATBatt selection followed the announcement last week of a partnership between the Commonwealth of Kentucky, the University of Kentucky (UK), the University of Louisville (U of L), and the US Department of Energy’s (DOE) Argonne National Laboratory to establish a national Battery Manufacturing R&D Center to help develop and deploy a domestic supply of advanced battery technologies for vehicle applications. (Earlier post.)

Chicago-based Argonne was instrumental in the formation of NAATBatt, which began with 14 founding members and has grown to more than 50 members today.

The alliance is modeled after Sematech, which was formed by US computer-chip companies in 1987 to compete with the Japanese. Sematech, now based in Austin, Texas, is credited with helping US companies regain their footing by focusing on manufacturing and design advancements with funding from the federal government.

NAATBatt must submit its application to the DOE by 19 May 2009, and anticipates a decision on awards to be made this summer. If successful in securing the required funding, the Kentucky facility could begin construction immediately.