CALB has awarded Mota-Engil a €207.3 million contract for Phase I of its planned lithium battery gigafactory in Sines, Portugal, for which it announced construction commencement in February 2025.  (Photo Credit: CALB)
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China’s CALB Hires Mota-Engil For €2Bn Portuguese Gigafactory

Chinese battery manufacturer awards €207.3 million contract for Phase I of its AI gigafactory in Sines to Mota-Engil

Anu Bhambhani

  • CALB is building a 15 GWh lithium-ion battery gigafactory in Sines, Portugal, primarily targeting the European market 

  • Local contractor Mota-Engil will deliver Phase I under a €207.3 million contract, covering 62,000 m² of construction  

  • The project has National Interest status, and €350 million in government incentives 

CALB Group, a Chinese manufacturer of lithium-ion batteries and energy storage systems (ESS), is building a lithium-ion battery gigafactory valued at over €2 billion in Sines, Portugal. It has roped in infrastructure services provider Mota-Engil as the local contractor for phase I of the project. 

Mota-Engil was hired for the job by CALB (EUROPE), S.A., incorporated in Portugal, with €48.2 million. The latter is involved in research and development, production, and sales of EV batteries and ESS products for its parent.  

Located on Portugal’s Alentejo coast, the project will cover close to 17 hectares under Phase I. CALB has awarded a €207.3 million contract to Mota-Engil. The latter will take approximately 22 months to complete Phase I, covering approximately 62,000 square meters of construction area. 

Mota-Engil will carry out building construction, specialized installations, factory equipment installation, and secondary cabling works. Its scope also includes building various sections on site, including workshops, a voltage reduction station, facilities linked to an integrated power plant, chemical and NMP storage areas, waste management facilities, a wastewater treatment station, and gatehouses.  

Construction was announced in February 2025 when CALB said the Portuguese fab will be a zero-carbon AI gigafactory with delivery expected in 2027. 

CALB Europe previously said the company selected Sines for its proximity to the Port of Sines and transport links to Spain and central Europe, helping support the company's plans to serve the European market. Portugal’s lithium reserves, among the largest in Europe, also reinforce the strategic position of the CALB factory. 

The fab will reportedly have an annual battery production capacity of 15 GWh. It has secured a National Interest Project title, which will speed up permitting and grid access to meet its power requirements. In January 2026, it secured a €350 million incentive package from the Portuguese government. 

CALB has said the facility will incorporate advanced battery manufacturing technologies and is expected to create around 1,800 direct jobs. The industrial complex will occupy about 45 hectares of a 92-hectare site and include buildings for electrode, cell, formation, assembly, packaging, and enclosure production, shared local media reports.