EV startup Arrival has completed a huge step in bringing its first commercial EV into production, particularly in the way its flagship Van is being assembled. Arrival has successfully built its first production-verification Van using its Microfactory in Bicester, UK, marking the start of a new streamlined assembly that could eventually shift how and where EVs are built in the future.
Although the company currently has headquarters in both London and Charlotte, North Carolina, all of its R&D and design currently takes place in Bicester, where Arrival Van production will also begin.
Rather than pour hundreds of millions of dollars into the construction of mega production facilities, Arrival has taken the opposite approach. In what it calls its “Microfactory,” Arrival takes existing industrial facilities and installs its own assembly cells that can be quickly and efficiently implemented.
This strategy removes the need for any special foundations, pits for painting, or other assembly processes. Individual assembly cells are instead, bolted directly into the concrete floor. Each cell includes 3-4 off the shelf robots in addition to all the necessary equipment to guide parts around the facility, like autonomous robots for instance.
Since going public via SPAC merger in March of 2021, the start-up’s stock has stumbled, leading to an announcement this past July that it would be reorganizing its business to focus on Arrival Van production. As a result, Arrival put a complete halt to Arrival Bus and Car development for the time being.
Although Arrival has been making progress in building out production-ready Vans, none had been built in a Microfactory… until now.
Some of the robotic cells in Arrival’s Bicester Microfactory / Source: Arrival
Arrival shows proof of concept for Van Microfactory model
The startup shared its latest feat in bringing its last-mile delivery Van to production in a press release today, alongside a status update for Arrival as a whole. The Van seen above is the first to be assembled in Arrival’s initial software-defined Microfactory using in-house technologies, composite materials, autonomous mobile robots, and other in-house components.
By successfully rolling off the Microfactory assembly line in the UK, this latest Van shows proof of concept for Arrival’s unique production approach and moves its creators one step closer to scaled EV production and initial deliveries. Arrival founder and CEO Denis Sverdlov spoke to the company’s progress so far:
Today is an important day for Arrival. This is the first time a vehicle has ever been built in our Microfactory, using a new method that does not use a traditional assembly line. Although we have not yet achieved serial production, we are focused on making it happen. We will continue to produce vehicles in our Microfactory in order to master at-scale production. It has been more difficult than we had initially imagined, and I thank the team for the immense amount of effort, technology, innovative breakthroughs, and problem solving.
While this remains a huge accomplishment for the EV startup, Arrival’s upcoming Van builds will not be reaching customers just yet… at least not this year. The company states that all Vans built at the UK Microfactory will be used for continued testing, validation, and quality control.
As for official start of scaled production and delivery timelines, Arrival says we will learn more during its Q3 earnings report taking place November 8. Perhaps we will also get an update on its Van production progress in the US as well, now that one Microfactory is successfully up and running. We will report back when we learn more in November.
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This week on Electrek’s Wheel-E podcast, we discuss the most popular news stories from the world of electric bikes and other nontraditional electric vehicles. This time, that includes “70 MPH e-bikes” prompting new law changes, recalled Amazon/Walmart e-bikes, Vietnam banning gasoline-powered motorcycles, and more.
The Wheel-E podcast returns every two weeks on Electrek’s YouTube channel, Facebook, Linkedin, and Twitter.
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Here are a few of the articles that we will discuss during the Wheel-E podcast today:
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Exxon Mobil reported second-quarter earnings on Friday that declined significantly compared to last year, though the company beat Wall Street estimates as production growth in the Permian Basin and Guyana softened the impact of lower oil prices.
Exxon’s net income fell 23% to $7.1 billion, or $1.64 per share, compared to $9.2 billion, or $2.14 per share, in the same period last year.
Here is what Exxon reported for the second quarter compared with what Wall Street was expecting, based on a survey of analysts by LSEG:
Earnings per share: $1.64 vs. $1.54 expected
Revenue: $81.5 billion vs. $80.77 billion expected
The oil major pumped 4.6 million barrels per day, the highest output for the second quarter since Exxon and Mobil merged more than 25 years ago. Production in the Permian hit a record 1.6 million bpd.
Exxon’s production business posted a profit of $5.4 billion, down 23% from about $7.1 billion in the same period last year on lower oil prices. Its refining business booked earnings of $1.37 billion globally, up 44% compared to $946 million in the year-ago period due to higher refining margins.
Exxon paid out $9.2 billion to shareholders, including more than $4 billion in dividends and $5 billion in share repurchases. The oil major said it’s on pace to purchase $20 billion of shares this year.
Exxon has slashed its costs by $1.4 billion so far this year and $13.5 billion since 2019. It is aiming to cut another $4.5 billion through the end of 2030.
This is a breaking news story. Please check back for updates.
Chevron on Friday reported second-quarter earnings that took a substantial hit due to low oil prices and a loss on its acquisition of Hess Corporation.
The oil major’s net income declined about 44% to $2.49 billion, or $1.45 per share, from $4.43 billion, or $2.43 per share, in the same period last year.
Chevron booked a $215 million loss on the fair value measurement of Hess shares. When adjusted for that charge and other one-time items, Chevron earned $1.77 per share to beat Wall Street estimates.
Here is what Chevron reported for the second quarter compared with what Wall Street was expecting, based on a survey of analysts by LSEG:
Earnings per share: $1.77 adjusted vs. $1.70 expected
Revenue: $44.82 billion vs. $43.82 billion expected
Chevron completed its acquisition of Hess on July 18, after prevailing against Exxon Mobil in a long-running dispute that threatened to blow up the $53 billion deal. An arbitration court rejected Exxon’s claim to a right of first refusal over lucrative Hess assets in Guyana, clearing the way for Chevron to complete the transaction after a long delay.
Chevron expects the deal to begin adding to earnings in the fourth quarter. It also hopes to reduce annual run-rate costs by $1 billion by the end of 2025.
Chevron pumped a record 3.4 million barrels per day worldwide for the quarter, a 3% increase over the same period last year. U.S. production jumped about 8% to 1.69 million bpd compared to the year-ago period, with production in the Permian Basin hitting 1 million bpd. The Hess acquisition will add assets in the Bakken formation and Gulf of Mexico in addition to Guyana.
Chevron’s production business posted a profit of $2.72 billion, down 38% from $4.47 billion in the same period last year due to lower oil prices. Its refining business booked earnings of $737 million, up 23% from $597 million last year on higher margins for product sales.
Chevron paid out $5.5 billion to shareholders in the quarter, including $2.6 billion in share buybacks and $2.9 billion in dividends.