Staff Reports
The US Department of Energy has granted a conditional loan of up to $375 million to a Canadian company to establish a hub in New York. Li-Cycle said that it will use the loan to build a facility in Rochester.
The US Department of Energy (DOE) will provide a loan to Li-Cycle, a battery manufacturer, to help it expand its operations. The move is part of the agency's efforts to improve the manufacturing of advanced batteries in the country. Senator Chuck Schumer of New York, who visited the company's facility in September, pushed for the loan.
Senator Charles Schumer of New York said that he was able to secure federal funding for Li-Cycle to help boost the company’s growth and help America become a leader in the development of battery technology. In a press release, the company noted that the investment from the Department of Energy will help strengthen the US' supply chain and reduce its reliance on China.
Today and thanks to the Inflation Reduction Act we passed:
I’m announcing that Rochester’s Li-Cycle is being awarded a game-changing $375 million loan from @ENERGY creating good-paying jobs and powering Upstate NY as a global battery hub.https://t.co/viWRlPNgLl
— Chuck Schumer (@SenSchumer) February 27, 2023
The loan is the fifth deal announced by the agency in the past year under its Advanced Technology Vehicle Manufacturing (ATVM) program. Despite the number of deals, the DOE noted that it still has about $50 billion in available loan authority. One of the most recent deals approved by the program was a $2 billion loan to a battery materials company run by JB Straubel, the co-founder of Tesla.
The White House noted that President Joe Biden's signature legislation, which was called the Inflation Reduction Act, provided an additional $3 billion for the program.
The agency noted that the facility, which will be located in Rochester, will be able to recycle approximately 200 tons of chemicals every day for electric vehicle batteries. It is expected to become the first facility in North America to process battery-grade lithium, which is currently being imported by China.
In a press release, Li-Cycle noted that the facility will be a vital part of the company's operations and will contribute to the development of the clean energy economy. Its CEO, Ajay Kochhar, said that the company's Rochester Hub will help position it as a leading producer of lithium materials in the US.
Neither the DOE nor Li-Cycle immediately responded to requests for comment from the Daily Caller News Foundation.
The preceding is a summary of an article that originally appeared on DAILY CALLER.
