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Northvolt Files for Bankruptcy Amid Mounting Debt, Aims to Restructure Operations

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Swedish battery manufacturer Northvolt AB, a key player in Europe’s electric vehicle (EV) industry, has filed for Chapter 11 bankruptcy in the United States. The move follows the company’s inability to secure rescue funding, leaving it with only $30 million in cash reserves against debts totaling $5.84 billion.

Northvolt, which specializes in lithium-ion, lithium-metal, and sodium-ion batteries for EVs and energy storage, operates its flagship gigafactory, Northvolt Ett, in Skellefteå, Sweden. The bankruptcy filing marks a significant setback for Europe’s domestic battery production ambitions, as Northvolt was seen as a cornerstone of the continent’s EV supply chain.

Access to Funds and Operational Continuity

Filing for Chapter 11 bankruptcy enables Northvolt to access $245 million in new financing as part of a voluntary reorganization. This includes $100 million in debtor-in-possession financing—a specialized funding mechanism for businesses restructuring under bankruptcy—and $145 million in cash collateral provided by a client.

These funds are expected to stabilize the company’s financial situation, allowing Northvolt to scale its operations to meet market demands and establish a stronger foundation for long-term growth.

Despite the filing, Northvolt announced it would maintain normal operations across its facilities, including Northvolt Ett and Northvolt Labs in Västerås, Sweden. Its subsidiaries in North America and Germany will also continue to function without interruption. Employee wages, vendor obligations, and customer deliveries will proceed as usual during the reorganization.

Leadership Changes and Strategic Vision

As part of the restructuring, CEO Peter Carlsson announced his resignation. Interim Board Chairman Tom Johnstone emphasized the importance of the bankruptcy filing as a step toward securing Northvolt’s future.

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“This decisive step will allow Northvolt to continue its mission to establish a homegrown, European industrial base for battery production,” Johnstone said in a statement. “Despite near-term challenges, this action will strengthen our capital structure, enabling us to capture the growing demand for vehicle electrification.”

Johnstone also reassured stakeholders, including employees, customers, suppliers, and governments, of Northvolt’s commitment to fulfilling its obligations.

Outlook

The reorganization aims to position Northvolt as a more resilient and competitive entity capable of driving innovation and sustainability in the EV market. While the bankruptcy filing underscores the financial strain on Europe’s battery industry, Northvolt’s efforts to rebuild its capital structure may help it regain its footing in the rapidly growing EV sector.

The company’s long-term goal remains the establishment of a robust European battery production base to support the continent’s transition to sustainable mobility.

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US Conducts Strike on Alleged Drug-Smuggling Facility, Marks Escalation in Operations

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US President Donald Trump said Monday that the United States conducted a strike on a shore facility used for loading boats with drugs, marking an escalation beyond previous operations targeting vessels in international waters. The president declined to specify the location or which agency carried out the strike.

“There was a major explosion in the dock area where they load the boats up with drugs,” Trump said while meeting Israeli Prime Minister Benjamin Netanyahu in Florida. “They load the boats up with drugs, so we hit all the boats and now we hit the area. It’s the implementation area. There’s where they implement. And that is no longer around.”

Trump offered few details about the strike, including whether it was conducted by the US military or the CIA. “I know exactly who it was, but I don’t want to say who it was. But you know it was along the shore,” he added.

The operation represents a shift in Trump administration tactics, which have previously focused on striking suspected drug-smuggling boats in international waters of the Caribbean and eastern Pacific. According to administration figures, at least 107 people have been killed across 30 strikes since early September. On Monday, the US conducted another strike against an alleged narcoboat in the eastern Pacific, resulting in two fatalities.

Trump initially referenced the strike during a call with WABC radio host John Catsimatidis on Friday. “I don’t know if you read or saw, they have a big plant or a big facility where they send the, you know, where the ships come from,” he said. “Two nights ago, we knocked that out. So, we hit them very hard.”

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Unlike previous maritime operations, which were often announced by US Defence Secretary Pete Hegseth or military social media accounts, no formal announcement was made regarding the facility strike. The Pentagon referred questions to the White House, which did not immediately provide additional information. Venezuela’s government also declined to comment.

Trump has long indicated that US operations could move beyond boat strikes to land-based missions in South America, including Venezuela. Recent weeks have seen the deployment of US warships to the region, increased military presence, and the seizure of two oil tankers, with a third vessel pursued. The administration has characterized the campaign as part of an “armed conflict” against drug cartels to stop narcotics flowing into the United States.

Venezuelan President Nicolás Maduro has dismissed the US actions, insisting that the real aim of American operations is to pressure him from office rather than target drug trafficking.

The facility strike signals a new phase in US operations in the region, demonstrating a willingness to extend military actions onto land, raising questions about potential further escalation in South America.

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One Dead, Three Missing After Migrant Boat Sinks Off Samos

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One person has died and three remain missing after a migrant boat sank near the Greek island of Samos early Monday, Greek coast guard authorities reported. Twenty-six migrants reached the shore in the Petalides area and alerted authorities that others were still at sea.

The incident occurred during the early morning hours, prompting an immediate search and rescue operation. Coast guard vessels, a helicopter, a private boat, and ground teams joined the efforts. During the operation, the body of a woman was recovered, while crews continued searching for the three missing migrants. The nationalities of those involved have not been disclosed.

Greece has served as a major entry point for migrants and refugees into the European Union since 2015. Over one million arrivals have been recorded through Greek territory, though hundreds have died attempting the often perilous sea crossing.

Data from Frontex, the European Border and Coast Guard Agency, shows that irregular migration flows through the eastern Mediterranean fell by 30 percent in the first 11 months of 2025 compared with the same period in 2024. Around 46,200 migrants arrived in Greek waters this year. However, Frontex noted a sharp increase in activity along the Libya-Crete route, with detections rising by 272 percent year-on-year.

The sinking off Samos is part of a series of recent migrant tragedies in Greek waters. On 6 December, Greek authorities recovered 17 bodies and rescued two migrants from a vessel off Crete. Two days later, a 12-year-old boy died after being struck by a boat propeller when smugglers forced migrants to jump from a speedboat near Samos.

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A week later, another vessel carrying 31 migrants crashed into rocks off Samos. Twenty-eight people were rescued, while three remained unaccounted for.

The Eastern Mediterranean continues to be a dangerous route for migrants seeking entry into Europe. Authorities have repeatedly warned of the risks posed by overcrowded and unseaworthy vessels operated by smugglers. Local coast guard officials have emphasized the need for vigilance, particularly in areas near islands like Samos and Crete, which lie close to key migrant corridors from Turkey and Libya.

Search and rescue teams remain on alert, patrolling the waters around Samos to locate the three missing migrants and prevent further casualties.

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Flood Alert Issued in Elbląg as River Levels Surge

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Polish authorities issued a flood alert in the northeastern city of Elbląg on Saturday night after water levels in the Elbląg River surpassed the warning threshold of 590 centimetres, Mayor Michał Missan said. The rise was driven by strong northwesterly winds that pushed water from the Vistula Lagoon upstream, creating a backwater effect that increased the risk of flooding along the river.

Emergency services responded by deploying flood barriers in vulnerable areas, while hydrological gauges throughout the region continued to register levels above the warning mark. Mayor Missan said that all relevant services remained on standby and that authorities were closely monitoring the situation. Residents were urged via social media to exercise caution, though no evacuation orders were issued.

The Polish Institute of Meteorology and Water Management also issued warnings for strong winds across the region, with icy conditions expected to persist and potentially complicate emergency operations. Authorities cautioned that the situation could change rapidly, and further interventions may become necessary if weather conditions worsen.

Elbląg sits along the eponymous river between Druzno Lake and the Vistula Lagoon and is part of Żuławy Wiślane, a Vistula River delta plain. Large sections of the area are below sea level, making it particularly vulnerable to flooding. Local officials have noted that the combination of wind-driven water movement and the city’s low-lying geography can quickly elevate flood risks.

Despite the heightened alert, no major flooding was reported overnight, and residents largely remained in their homes. Authorities emphasized that continuous monitoring and the deployment of temporary barriers were crucial to managing the rising waters and preventing damage to infrastructure.

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Mayor Missan said the city’s preparedness measures were in place to respond quickly to any escalation, and he urged citizens to stay informed through official channels. Local emergency services maintained a visible presence throughout the night, checking critical points along the river and readying additional resources if needed.

The situation highlights the challenges faced by cities like Elbląg, where riverine and lagoon systems intersect, and weather patterns can rapidly influence water levels. Officials said the alert would remain in effect as long as the river levels remained high and wind conditions persisted.

Residents were reminded to avoid walking or driving near the riverbanks and to follow any guidance from municipal authorities. Authorities confirmed that contingency plans for potential evacuations were prepared, but at present, no large-scale displacement was necessary.

The flood alert serves as a precautionary measure aimed at safeguarding lives and property in an area historically prone to water-related hazards.

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