The initiative focuses on domestic critical materials processing, battery materials and component manufacturing, and recycling, with winning projects enabling processing, recycling, or manufacturing facilities for critical materials used in batteries and related applications.

Funding requires a strong financial structure: at least $100 million in federal grants for new commercial-scale facilities or $50 million for retrofit facilities, plus a minimum 50% cost-sharing from non-federal sources and compliance with statutory requirements.

Energy Secretary announced the grant programs—Battery Materials Processing and Battery Manufacturing and Recycling—with the aim of reducing foreign dependence and strengthening supply chain resilience within four years.

The application deadline is April 24 at 5 p.m. Eastern Time, and projects should advance advanced battery manufacturing and supply chains for energy storage, electric vehicles, and grid applications.

Priority minerals include lithium, nickel, cobalt, aluminum, copper, graphite, manganese, fluorspar, and newly added copper, with lithium, nickel, and cobalt designated as high priority.

The Department of Energy seeks to invest up to $500 million in battery manufacturing and recycling projects to bolster domestic critical minerals and materials industries.

Eligible outcomes encompass demonstration or commercial facilities for processing, recycling, or using critical materials in traditional battery minerals or other minerals found in commercially available batteries.