South32 gets US grant for Arizona manganese project
Make us a preferred source
Make us a preferred source on Google
The news: Mining giant South32 has been selected for a grant from the US Department of Energy (DOE) to develop its Hermosa zinc and manganese project for supply to the North American electric vehicle battery market.
The numbers: The global miner said the US DOE will provide a grant of up to USD166 million ($244 million) to support the potential development of a commercial-scale manganese production facility. On a cost-share basis, the DOE will provide 30% of the cost of the facility.
The context: The grant is part of a total award of USD3 billion to 25 battery manufacturing sector projects across 14 US states as the Biden administration works to increase domestic production of advanced batteries and battery materials and shift the supply chain away from China.
South32 said the project is subject to further study, and it is engaging potential customers to advance product qualifications for battery manufacturing, including potential agreements for future supply following the signing of multiple non-binding memorandums of understanding.
The Hermosa project, located in the Patagonia Mountains of southern Arizona, received final investment approval from the company earlier this year.
The source: ASX announcement
