- Write by:
-
Tuesday, April 19, 2022 - 11:54:09
-
471 Visit
-
Print
Mining News Pro - The U.S. Department of Energy is lending $107 million to graphite miner Syrah Resources Ltd to build an electric vehicle battery parts facility in Louisiana, the first loan in more than 10 years from the department’s Advanced Technology Vehicles Manufacturing (ATVM) funding program.
President Joe Biden has set aggressive targets for half of all vehicles sold in the United States to be electric-powered by 2030, a goal that will require more domestic processing of EV building blocks. While the ATVM program has lent to automakers Ford Motor Co and Tesla Inc in the past, the Syrah loan is the first not directly to an automaker.
“The U.S. is serious about onshoring the battery manufacturing and critical materials supply chains,” Jigar Shah, head of the Energy Department’s Loan Programs Office, told Reuters. He estimated the United States only has about 5% of the manufacturing capacity needed to hit Biden’s 2030 target.
Lithium Americas Corp, ioneer Ltd, Lordstown Motors Corp and Piedmont Lithium Inc have said they also have applied for ATVM loans.
Australia-based Syrah plans to use the loan to help fund the expansion of a Louisiana facility that will process graphite mined from Mozambique into anodes, the positively charged electrode of a battery. The facility is expected to produce enough anodes to build 2.3 million EVs by 2040.
Syrah, which has a deal to supply anodes to Tesla starting in 2024, completed a stock offering in February to help further fund the $176 million project.
Importantly for Shah’s office, Syrah said its mine follows sustainable mining practices and most of the mine’s employees are Mozambican, with independent auditors verifying the claims. The Louisiana facility is expected to create about 150 construction jobs and 98 full-time jobs.
“The loan will allow Syrah to … support the rapidly growing EV and battery supply chain in the USA,” said Shaun Verner, Syrah’s managing director.
By Congressional mandate the ATVM program is not allowed to fund construction of new mines, but it can fund processing facilities. Shah’s office is review $2 billion in other loan applications.
Shah said Syrah’s loan was processed in about five months because the company was quick to respond to information requests, though he said other loan applications will take longer.
“The vast majority of applicants aren’t ready,” Shah said. “We need all of our questions answered to be able to process a loan.”
Short Link:
https://www.miningnews.ir/En/News/621085
Marex Group Plc and a group of the London-based firm’s shareholders raised about $292 million in a US initial public ...
India is in talks with several countries seeking partnerships for technical help on lithium processing, said four ...
A Native American group has asked all members of a US appeals court on Monday to overturn an earlier ruling that granted ...
The London Metal Exchange (LME) on Saturday banned from its system Russian metal produced on or after April 13 to comply ...
The world’s coal-fired power capacity grew 2% last year, its highest annual increase since 2016, driven by new builds in ...
Peabody Energy Corp. shares sunk to the lowest in seven months after the biggest US coal miner warned that first-quarter ...
BMO Bank quietly dropped its policy restricting lending to the coal industry in late 2023, helping it avoid being ...
BMO Bank quietly dropped its policy restricting lending to the coal industry in late 2023, helping it avoid being ...
Graphjet Technology, a Malaysia-headquartered developer of technologies to produce graphite and graphene directly from ...
No comments have been posted yet ...