The U.S. Department of Energy (DOE), through the Office of Fossil Energy and Carbon Management (FECM) and administered by the National Energy Technology Laboratory (NETL), has released a funding opportunity titled "Infrastructure Investment and Jobs Act – Mines & Metals Capacity Expansion – Piloting Byproduct Critical Minerals and Materials Recovery at Domestic Industrial Facilities." The initiative supports large pilot-scale projects that advance the domestic recovery of critical minerals from industrial byproduct streams. This program falls under the Infrastructure Investment and Jobs Act (IIJA) and is authorized through Section 41003(b)–(c), focusing on rare earth mineral security and critical material innovation. The opportunity is aimed at addressing U.S. dependence on foreign sources for critical materials essential for energy, defense, and manufacturing sectors.
The purpose of this funding is to facilitate the design, construction, and operation of large pilot processing systems that recover market-ready critical minerals from coal-based and other industrial waste streams. Two topic areas are specified: Topic Area 1 focuses on coal-based industry feedstocks with rare earth element recovery as a requirement, while Topic Area 2 supports recovery from broader industrial sources, including process wastes and mine residues. The facilities must operate at a minimum scale of 1:50 of commercial capacity, targeting significant reductions in technical uncertainty and financial risk in preparation for commercial deployment. Applications must demonstrate prior bench- or pilot-scale feasibility and propose projects that operate in continuous or semi-continuous modes.
The total available funding is up to $275 million, with Topic Area 1 expected to receive up to $75 million and Topic Area 2 up to $200 million. Individual awards range from $10 million to $75 million, depending on the topic area, with a mandatory minimum 20% non-federal cost share. The project period of performance may extend up to four years, with defined go/no-go milestones required at the end of each budget period to continue receiving funding.
Eligible applicants include U.S.-based institutions of higher education, non-profit and for-profit organizations, state and local governments, and Indian Tribes. Foreign entities may apply only with a DOE-approved waiver and must demonstrate U.S. incorporation, majority U.S. ownership, and a physical business presence in the U.S. All proposed work must occur within the United States unless a waiver is granted. Applications proposing post-consumer or manufacturing scrap recycling, foreign-based operations, or those excluding rare earth recovery under Topic Area 1 will not be considered.
Applications must be submitted via the NETL eXCHANGE platform by 5:00 PM ET on December 15, 2025. A comprehensive application package is required, including a technical volume, Statement of Project Objectives, Project Management Plan, Commercialization Plan, Feedstock and Production Data Sheets, and supporting documentation. DOE will evaluate submissions based on scientific merit, technical approach, team qualifications, and alignment with program goals. Successful applicants will be notified by January 16, 2026, with anticipated award execution by June 15, 2026. This program is recurring, and DOE indicates that additional scale-up opportunities may be available following successful pilot execution.
Applicants must demonstrate prior pilot or bench-scale success and provide detailed commercialization pathways. High cost-share commitment and integration with DOE's CMC are favorably considered.
