Feds announce $355M for 4 electric vehicle battery projects in Michigan

The U.S. Department of Energy (DOE) announced Friday it's granting $355 million in federal funding to a series of manufacturing projects in Michigan, all aimed at bolstering production for electric vehicle (EV) batteries and battery components.

In a press release, the office of U.S. Sen. Debbie Stabenow, D-Lansing, said the funding is made available through the Bipartisan Infrastructure Law. In 2021, President Joe Biden signed the $1.2 trillion plan into law, which targets investments in infrastructure and clean energy projects throughout the U.S.

Friday's announcements include:

• $145 million to Revex Technologies Inc: Revex, which describes itself as a next-generation critical mining company, will receive $145 million for a partnership with Eagle Mine in the Upper Peninsula to turn battery waste into critical minerals, according to Stabenow's office. Eagle Mine is a copper and nickel mine in Marquette County. Revex, based in Houston, also announced it's receiving $50 million in state incentives from the Make it in Michigan Competitiveness Fund.

• $100 million to Mitra Future Technologies Inc: Mitra Chem, which produces components needed for batteries, will receive $100 million for a battery-material manufacturing facility in Muskegon, according to a company press release. The company also said it anticipates $25 million in state funding from the Make it in Michigan Competitiveness fund.

• $60 million to NanoGraf: Chicago-based NanoGraf will open a $175 million plant in Flint to produce silicone anode material, a component in electric vehicle batteries. The company plans to retrofit an existing manufacturing site at the former Buick City plant in Flint, according to the office of U.S. Rep. Dan Kildee, D-Flint. When fully operational, NanoGraf says the facility will be able to produce enough material to supply 1.5 million EVs annually.

• $50 million to Cabot Corporation: Boston-based Cabot Corporation, a chemical and materials producer, will receive $50 million to build and operate a plant in Wayne County. The project targets strengthening the domestic supply chain for EV battery components. According to the company, the site will be at a retrofitted former automotive plant, although it wasn't immediately clear where. The company says the total investment will be $181 million.

Backers of the investment say the projects will spur the manufacturing industry in Michigan.

“The Michigan ethos is embedded in America’s industrial fabric, and the Biden-Harris Administration is deepening that proud manufacturing legacy,”U.S. Secretary of Energy and former Michigan Gov. Jennifer Granholm said in a statement.

"Thanks to the Investing in America agenda, Michigan is poised to see over $1 billion more in public-private investment creating hundreds of new jobs for workers across the state who are essential to ensuring our national energy security.”

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The federal funding, administered by the DOE's Office of Manufacturing and Energy Supply Chain, is part of the Biden administration's larger effort to spur manufacturing in the U.S., with the EV industry being a large focus. Michigan has also offered state incentives, backed by Gov. Gretchen Whitmer's administration, to attract projects and support job growth in manufacturing. In February, Whitmer launched a nationwide challenge for battery manufacturing companies competing for state incentives to come to Michigan.

EV sales have ramped up in the U.S., but at a slower pace than experts initially forecasted. Backers of a transition to an electric automotive market say EVs are better for the environment, since they produce fewer carbon emissions than internal combustion engine, or gas-powered, vehicles.

Contact Arpan Lobo: [email protected].

This article originally appeared on Detroit Free Press: $355M announced for electric vehicle battery projects in Michigan