Battery Manufacturing and Recycling Grants

MDO re-opened this funding opportunity for a third round of projects focused on the following topic areas for domestic facilities. 

MESC intends to issue a notice of funding opportunity (NOFO) of up to $500 million to expand U.S. critical mineral and materials processing and derivative battery manufacturing and recycling. 

MESC intends to re-open this funding opportunity for a third round of projects. It is anticipated that Round 3 may include the following topic areas for domestic facilities, with a focus on facilities that support the energy independence of the United States through circularity and secure sourcing: 

• Cathode and Anode Materials
• Electrolyte and Electrolyte Salts
• Pre-Industrial Scale Cell Manufacturing
• Materials, Processing, and Manufacturing Open Topics

MESC anticipates awarding up to 14 grants with periods of performance from two to five years under the opportunity. The anticipated funding builds upon two previous funding rounds.

As part of the Biden-Harris Administration’s Investing in America agenda, the U.S. Department of Energy (DOE) announced over $3 billion for 25 selected projects across 14 states to boost the domestic production of advanced batteries and battery materials nationwide. The portfolio of selected projects, once fully contracted, are projected to support over 8,000 construction jobs and over 4,000 operating jobs. Administered by DOE’s Office of Manufacturing and Energy Supply Chains (MESC), the selected projects will retrofit, expand, and build new domestic facilities for battery-grade processed critical minerals, battery components, battery manufacturing, and recycling.

DOE has awarded a total of $1.82 billion to 14 projects that will build and expand commercial-scale facilities to extract lithium, graphite, and other battery materials, manufacture components, and demonstrate new approaches, including manufacturing components from recycled materials.

Combined Federal/Private sector investment total of more than $5.6 billion to boost American production of clean energy technology, create over 2,500 good-paying jobs, and support President Biden’s national goals for electric vehicles to make up half of all new vehicle sales by 2030 and to transition to a net-zero emissions economy by 2050.