<p> Energy storage has received much attention due to the increasing use of energy, especially renewable energy. Lithium-ion batteries have great characteristics for electrical energy storage. Higher specific energy density, cycle life, cell voltage, shorter charge times gives lithium-ion batteries favorable energy storage characteristics over other battery chemistries. Although lithium-ion batteries are increasing in use for electrical energy storage, their safety still poses an engineering problem. When lithium-ion batteries are abused, they can enter thermal runaway. This event is dangerous as it can eject hot gases and shrapnel. Previous studies focused on different aspects of thermal runaway, for example, heat generation from chemical reactions, propagation to other cells, and the physics of gas venting. One phenomenon that has not received much attention is the evaporation of the electrolyte out of a failed lithium-ion battery. Understanding the effect of electrolyte evaporation is key to having a more complete understanding of thermal runaway. In this thesis, the physics of electrolyte evaporation is studied with the purpose of developing more accurate thermal abuse models. An evaporation model was developed, based on porous drying theory and a 1-D liquid diffusion process. Experiments were conducted to identify the liquid diffusion coefficient which governs the rate of electrolyte transport within the porous separator within the battery. The 1-D liquid diffusion model was then implemented into an existing thermal abuse model and exercised for a typical oven test scenario. Results showed that the physics-based evaporation model resulted in excellent agreement with experimental data at different oven temperatures.</p>