The United States Department of Energy (DOE), through its Office of Manufacturing and Energy Supply Chains (MESC), has announced its intent to issue a Notice of Funding Opportunity (NOFO) titled “Battery Materials Processing and Battery Manufacturing and Recycling Grant Program.” This planned funding initiative will be conducted under Section 40207 of the Infrastructure Investment and Jobs Act (IIJA) and aims to expand U.S. capacity in critical mineral and materials processing, derivative battery manufacturing, and recycling. The effort supports national priorities to bolster America’s energy dominance and reduce reliance on foreign sources, particularly in light of concerns over foreign influence in critical supply chains.
The program will focus on projects that advance the domestic processing and recycling of critical minerals, such as lithium, graphite, nickel, copper, and aluminum, as well as rare earth elements and other minerals found in commercially available batteries. The scope also includes the downstream integration of these materials into advanced energy products. Applicants will be expected to identify potential domestic customers for their products or materials. In awarding grants, DOE will prioritize proposals that do not source or export critical battery materials to or from a Foreign Entity of Concern (FEOC), as defined in DOE’s May 2024 interpretive guidance.
MESC anticipates making up to $500 million available for this funding opportunity, with individual awards ranging between $50 million and $200 million. The estimated performance period for each award will be approximately 24 to 48 months. The number of awards issued will depend on the quality and scope of applications received, and MESC reserves the right to make one, multiple, or no awards.
Applications will be accepted exclusively through the Infrastructure Exchange platform, and prospective applicants are encouraged to register in advance. Additional registration requirements include having an active account in the System for Award Management (SAM), creating an organization account in FedConnect (requiring the SAM MPIN), and registering in Grants.gov to receive updates. Although Grants.gov registration will allow applicants to receive notifications about amendments, all submissions must be made through Infrastructure Exchange.
At present, the NOFO has not yet been released, and no application deadlines have been specified. MESC has stated that the opportunity will be announced in the coming months. Organizations are advised to prepare early by ensuring that all necessary registrations are completed and that internal teams are familiar with submission requirements. The DOE has emphasized that this announcement is only a Notice of Intent and that the final NOFO may differ substantially from what is described here, or may not be issued at all.
As no contact person has been designated for programmatic inquiries, questions related to the Infrastructure Exchange registration process should be directed to InfrastructureExchangeSupport@hq.doe.gov. The DOE will release full application guidance, eligibility details, evaluation criteria, and deadlines upon issuance of the NOFO.
