Lithium CEO Pledges to Forge Ahead on Project Without US Grant

Core Insights - American Battery Technology Co. will proceed with its over $2 billion lithium mine and refinery project in Nevada despite the cancellation of a US Department of Energy grant [1][2] - The company experienced a significant market value loss of over one-third following the announcement of the grant termination [1][4] - The CEO stated that the project completion is still targeted for late 2027, and the company has raised $52 million from public markets to cover costs previously expected to be funded by the grant [2][6] Industry Context - The grant termination coincides with an escalating trade war between the US and China, where batteries are a critical leverage point for China due to its mineral wealth [3] - The Trump administration has highlighted the importance of lithium and other elements essential for energy storage and electric vehicles [3] - China's recent increase in curbs on rare-earth exports has led to market volatility and a strong reaction from the Trump administration [3][4] Financial Impact - The grant, awarded in 2023, was intended to finance the design and construction of a plant for manufacturing battery-grade lithium [5] - As of the grant cancellation date, American Battery had $52 million in reimbursable funds remaining from a total of $58 million [6] - Following a 1,000% increase in share price over the past year, the company's stock plummeted more than 20% and 35% in the two sessions after the grant termination announcement [4]