American Battery Technology Company Awarded $20 Million Tax Credit through Competitive US DOE Process to Advance its Critical Minerals Battery Recycling Facility

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Apr 03, 2024, 09:15 ET

Award to support capital expenditures to accelerate deployment of next phase of critical battery minerals manufacturing

RENO, Nev., April 3, 2024 /PRNewswire/ -- American Battery Technology Company (ABTC) (NASDAQ: ABAT), an integrated critical battery materials company that is commercializing its technologies for both primary battery minerals manufacturing and secondary minerals lithium-ion battery recycling, was selected for an approximately $20 million award through the Qualifying Advanced Energy Project Credits program (48C). This award was granted by the U.S. Department of Treasury Internal Revenue Service following a highly competitive technical and economic review process performed by the U.S. Department of Energy (DOE), which evaluated the feasibility of applicant facilities to advance America's buildout of globally competitive critical material recycling, processing, and refining infrastructure.

An employee from the American Battery Technology Company inspects a battery at the company’s lithium-ion battery recycling facility located in the Tahoe-Reno Industrial Center in Storey County, Nevada. The company was awarded a $20 million tax credit through a competitive U.S. Department of Energy process which will support the advancement of this facility and provide capital expenditures to accelerate deployment of the company's next phase of critical battery minerals manufacturing.

American Battery Technology Company team members at its lithium-ion battery recycling facility in Nevada.

"We are proud to have been selected for this highly competitive award, and humbled to have been chosen within a program where less than one-tenth of the requested funds were ultimately selected for award," stated ABTC CEO Ryan Melsert. "These funds will facilitate the acceleration of the buildout and start of operations of our commercial scale hydrometallurgy-based recycled battery minerals processing and refinement systems to increase the overall capacity for domestic critical mineral manufacturing."

ABTC is commercializing its internally-developed recycling process that utilizes an upfront strategic de-manufacturing process followed by a targeted chemical extraction train in order to recover battery materials with high yields, low cost, and with a low environmental footprint. These ABTC recycling technologies have won several competitive corporate awards and government grants and are fundamentally different than conventional methods of battery recycling, which generally utilize either high temperature smelting operations or non-strategic shredding systems.

This $20 million award can be utilized both for the reimbursement of capital expenditures spent to date, and also for equipment and infrastructure for additional value-add operations at ABTC's battery recycling facility in the Tahoe-Reno Industrial Center (TRIC) in Storey County, Nevada. Combined with ABTC's previously awarded U.S. DOE grants totaling over $70 million, these funds support investment in the company's battery recycling and primary battery metals commercialization efforts to buildout a domestically-sourced battery metals circular supply chain. These efforts simultaneously aim to foster a sustainable and equitable workforce through partnerships that can propel the new energy transition.

ABTC is working to foster improved access to jobs for members of the community, including under-represented individuals and those facing barriers to employment, by leveraging U.S. DOE investments and through partnerships with workforce development and government agencies.

In collaboration with and support from strategic partners, such as the University of Nevada, Reno, the Nevada Battery Coalition, the Nevada's Governor's Office of Economic Development, the Nevada Department of Employment Training and Rehabilitation, and the Governor's Office of Workforce Innovation, ABTC is actively engaged and involved in positioning Nevada as a leading fulcrum of the battery metals supply chain in North America.

About American Battery Technology Company
American Battery Technology Company (ABTC), headquartered in Reno, Nevada, has pioneered first-of-kind technologies to unlock domestically manufactured and recycled battery metals critically needed to help meet the significant demand from the electric vehicle, stationary storage, and consumer electronics industries. Committed to a circular supply chain for battery metals, ABTC works to continually innovate and master new battery metals technologies that power a global transition to electrification and the future of sustainable energy.

Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical fact, are "forward-looking statements." Although the American Battery Technology Company's (the "Company") management believes that such forward-looking statements are reasonable, it cannot guarantee that such expectations are, or will be, correct. These forward-looking statements involve a number of risks and uncertainties, which could cause the Company's future results to differ materially from those anticipated. Potential risks and uncertainties include, among others, risks and uncertainties related to the Company's ability to continue as a going concern; the inability to obtain permits required for future exploration, development or production, general economic conditions and conditions affecting the industries in which the Company operates; the uncertainty of regulatory requirements and approvals; fluctuating mineral and commodity prices; the failure to satisfy the prevailing wage and apprenticeship requirements of the tax credit; the failure to notify the U.S. DOE that the prevailing wage and apprenticeship requirements of the tax credit were met; the reduction or revocation of the tax credit due to the location of the project having materially changed, the occurrence of a significant change in plans from those submitted in the application to obtain the tax credit, the finding that the property included in the basis of property for the qualified investment isn't eligible for the tax credit, an IRS determination that a tax credit has been claimed for the same investment, the certification requirements aren't satisfied within two years, the date for placing the project in service was not met, the failure to notify the U.S. DOE that the project was placed in service, or if there are other violations of Section 48C tax law.. Additional information regarding the factors that may cause actual results to differ materially from these forward-looking statements is available in the Company's filings with the Securities and Exchange Commission, including the Annual Report on Form 10-K for the year ended June 30, 2023. The Company assumes no obligation to update any of the information contained or referenced in this press release.

SOURCE American Battery Technology Company