Arkansas Governor, Local and Community Leaders Congratulate Standard Lithium, Equinor for U.S. Department of Energy Provisional Grant up to US$225 million
Standard Lithium (TSXV:SLI) (NYSE American:SLI) and Equinor's jointly-owned U.S. subsidiary, SWA Lithium , has been selected for up to US$225 million award negotiation from the U.S. Department of Energy (DOE). This conditional grant, one of the largest ever awarded to a U.S. critical minerals project, is part of the second wave of funding under the Infrastructure Investment and Jobs Act.
The funding aims to expand domestic battery supply chain manufacturing and increase U.S. critical minerals production. Arkansas Governor Sarah Sanders and other state officials congratulated Standard Lithium, highlighting the potential for lithium to boost South Arkansas' economy and establish the state as a world leader in lithium production. The project is expected to create hundreds of jobs and strengthen the nation's lithium supply chain.
Standard Lithium (TSXV:SLI) (NYSE American:SLI) e la sussidiaria statunitense di Equinor, SWA Lithium, sono state selezionate per la negoziazione di un premio fino a 225 milioni di dollari USA dal Dipartimento dell'Energia degli Stati Uniti (DOE). Questo finanziamento condizionato, uno dei più consistenti mai assegnati a un progetto di minerali critici negli Stati Uniti, fa parte della seconda ondata di finanziamenti prevista dalla Legge sugli Investimenti in Infrastrutture e Lavoro.
Il finanziamento mira a espandere la produzione domestica della catena di approvvigionamento delle batterie e aumentare la produzione di minerali critici negli Stati Uniti. Il Governatore dell'Arkansas Sarah Sanders e altri funzionari statali hanno congratulato Standard Lithium, sottolineando il potenziale del litio per potenziare l'economia del sud dell'Arkansas e stabilire lo stato come leader mondiale nella produzione di litio. Il progetto dovrebbe creare centinaia di posti di lavoro e rafforzare la catena di approvvigionamento di litio della nazione.
Standard Lithium (TSXV:SLI) (NYSE American:SLI) y la subsidiaria estadounidense de Equinor, SWA Lithium, han sido seleccionadas para la negociación de un premio de hasta 225 millones de dólares estadounidenses por parte del Departamento de Energía de los Estados Unidos (DOE). Esta subvención condicional, una de las más grandes jamás otorgadas a un proyecto de minerales críticos en EE. UU., forma parte de la segunda ola de financiamiento bajo la Ley de Inversión en Infraestructura y Empleos.
El financiamiento tiene como objetivo ampliar la fabricación de la cadena de suministro de baterías en el país e incrementar la producción de minerales críticos de EE. UU. La gobernadora de Arkansas, Sarah Sanders, y otros funcionarios estatales han felicitado a Standard Lithium, destacando el potencial del litio para impulsar la economía del sur de Arkansas y establecer al estado como un líder mundial en producción de litio. Se espera que el proyecto cree cientos de empleos y fortalezca la cadena de suministro de litio en la nación.
스탠다드 리튬 (TSXV:SLI) (NYSE American:SLI)과 에퀴노르의 미국 자회사인 SWA 리튬이 미국 에너지부 (DOE)로부터 최대 2억 2천 5백만 달러의 보조금 협상 대상으로 선정되었습니다. 이 조건부 보조금은 미국의 중요한 광물 프로젝트에 대해 수여된 가장 큰 보조금 중 하나로, 인프라 투자 및 일자리 법안에 따른 두 번째 자금 지원 물결의 일부입니다.
이 자금은 국내 배터리 공급망 제조를 확장하고 미국의 중요 광물 생산을 증가시키는 것을 목표로 합니다. 아칸소 주지사인 사라 샌더스(Sarah Sanders)와 다른 주 정부 관계자들은 스탠다드 리튬에 축하의 말을 전하며, 리튬이 아칸소 남부의 경제를 부양하고 주를 리튬 생산의 세계적 리더로 자리잡게 할 잠재력을 강조했습니다. 이 프로젝트는 수백 개의 일자리를 창출하고 국가의 리튬 공급망을 강화할 것으로 예상됩니다.
Standard Lithium (TSXV:SLI) (NYSE American:SLI) et la filiale américaine de Equinor, SWA Lithium, ont été sélectionnées pour des négociations de subventions pouvant atteindre 225 millions de dollars américains avec le Département de l'Énergie des États-Unis (DOE). Cette subvention conditionnelle, l'une des plus importantes jamais attribuées à un projet de minéraux critiques américain, fait partie de la deuxième vague de financement dans le cadre de la Loi sur l'investissement dans les infrastructures et l'emploi.
Le financement vise à élargir la fabrication de la chaîne d'approvisionnement nationale de batteries et à augmenter la production de minéraux critiques aux États-Unis. La gouverneure de l'Arkansas, Sarah Sanders, et d'autres responsables de l'État ont félicité Standard Lithium, soulignant le potentiel du lithium pour stimuler l'économie du sud de l'Arkansas et établir l'État en tant que leader mondial dans la production de lithium. Le projet devrait créer des centaines d'emplois et renforcer la chaîne d'approvisionnement en lithium de la nation.
Standard Lithium (TSXV:SLI) (NYSE American:SLI) und die US-Tochtergesellschaft von Equinor, SWA Lithium, wurden für die Verhandlung über einen Zuschuss von bis zu 225 Millionen US-Dollar des US-Energieministeriums (DOE) ausgewählt. Dieser bedingte Zuschuss, einer der größten, die jemals für ein kritisches Mineralprojekt in den USA vergeben wurden, ist Teil der zweiten Förderwelle gemäß dem Gesetz über Infrastrukturinvestitionen und Arbeitsplätze.
Die Finanzierung zielt darauf ab, die heimische Batterieversorgungskette zu erweitern und die Produktion von kritischen Mineralien in den USA zu erhöhen. Der Gouverneur von Arkansas, Sarah Sanders, und andere staatliche Beamte gratulierten Standard Lithium und hoben das Potenzial von Lithium hervor, die Wirtschaft im Süden von Arkansas anzukurbeln und den Staat als weltweit führenden Lithiumproduzenten zu etablieren. Es wird erwartet, dass das Projekt Hunderte von Arbeitsplätzen schafft und die Lithiumversorgungskette der Nation stärkt.
- Awarded up to US$225 million conditional grant from the U.S. Department of Energy
- One of the largest grants ever awarded to a U.S. critical minerals project
- Potential to create hundreds of jobs in South Arkansas
- Strong support from Arkansas state officials and local leaders
- Aims to strengthen domestic lithium supply chain and reduce foreign dependence
- None.
Insights
The US$225 million conditional grant from the DOE is a significant financial boost for Standard Lithium and Equinor's joint venture. This funding could substantially reduce the capital requirements for the South West Arkansas project, potentially improving its economic viability. The grant's size, being one of the largest ever for a U.S. critical minerals project, underscores the strategic importance of domestic lithium production.
For investors, this development signals strong government support for SLI's projects, which could de-risk the investment and potentially accelerate the company's path to commercialization. The grant may also enhance SLI's competitive position in the rapidly growing lithium market. However, it's important to note that the award is still conditional and final terms need to be negotiated. Investors should monitor the progress of these negotiations and any subsequent milestones in project development.
This news positions Arkansas as a potentially significant player in the U.S. lithium supply chain. The strong political support, evidenced by statements from the Governor and other state officials, suggests a favorable regulatory environment for lithium projects in Arkansas. This could lead to faster project approvals and additional support for SLI's operations.
The market implications are substantial. With the global push for electric vehicles and energy storage solutions, domestic lithium production is becoming increasingly critical. SLI's project, backed by this significant federal funding, could help reduce U.S. dependence on foreign lithium sources. This aligns with broader trends of supply chain localization and could potentially lead to premium pricing for domestically produced lithium.
Investors should consider the long-term potential of SLI in the context of the growing lithium market and the strategic importance of domestic production capabilities.
The conditional grant from the DOE represents a significant regulatory endorsement for Standard Lithium's project. This level of federal support often comes with stringent compliance requirements and oversight, which can be both a benefit and a challenge. While it validates the project's importance, it may also introduce additional regulatory scrutiny and reporting obligations.
Investors should be aware that such grants often come with conditions related to job creation, environmental standards and project timelines. Any failure to meet these conditions could result in clawback provisions or affect future funding tranches. Additionally, the involvement of a foreign partner (Equinor) in a project receiving U.S. government funding may require careful navigation of foreign investment regulations.
The strong state-level political support evidenced in the article suggests a favorable local regulatory environment, which could streamline permitting processes and reduce regulatory risks. However, investors should monitor for any changes in political leadership or policy that could affect this support.
DOE conditional grant for the South West Arkansas project is one of the largest ever received by a U.S. critical minerals project
LEWISVILLE, Ark., Sept. 23, 2024 (GLOBE NEWSWIRE) -- Standard Lithium Ltd. (“Standard Lithium”) (TSXV:SLI) (NYSE American:SLI), a leading near-commercial lithium development company and Equinor, a global energy leader, is pleased to share that its jointly-owned U.S. subsidiary, SWA Lithium LLC has been selected for up to US
“Arkansas is proud of its all-of-the-above energy strategy, with a rich production history of oil, natural gas, bromine, and now, lithium,” said Arkansas Governor Sarah Sanders. “Lithium has the potential to supercharge South Arkansas’ economy - and this announcement from Standard Lithium moves us closer to that goal.”
“Congratulations to SLI and its partners, and what an exciting investment in Arkansas,” said Arkansas Secretary of Energy and Environment, Shane Khoury. “This award helps ensure that Arkansas stays on track to become a world leader in lithium production and promotes lithium extraction in a proven and cleaner manner.”
“The announcement by Standard Lithium today is exciting news for south Arkansas,” said Arkansas State Senator Matt Stone. “The
“Standard Lithium’s Department of Energy grant marks a pivotal investment in South Arkansas, empowering local communities while strengthening our nation's future,” said Arkansas State Senator Ben Gilmore. “This initiative not only fosters economic growth but also plays a crucial role in breaking our dependence on China and securing a resilient supply chain for lithium and beyond.”
“Congratulations to the SLI/Equinor team,” said Arkansas Secretary of Commerce Hugh McDonald. “Arkansas is excited to see the validation of the lithium industry growth opportunities that will benefit thousands of Arkansans. This award and others solidify Arkansas’ significant role in securing North America’s lithium supply chain.”
“South Arkansas College is excited about this news for our long-term partner Standard Lithium, and we will continue to support them in any way possible in the future,” said President of SouthArk College, Dr. Stephanie Tully-Dartez.
“This is great news for the people of South Arkansas and a significant investment in our future and in our nation’s future by helping to break dependence on foreign sources and supply chain for critical minerals,” said Former Arkansas House Speaker Matthew Shepherd. “Not only will this investment directly create hundreds of jobs, it will indirectly create numerous opportunities for improved healthcare, childcare, and workforce development and have a lasting positive impact on South Arkansas and beyond.”
“UA -Pulaski Tech is proud to be an educational partner on the workforce training component of this enormous investment in domestic production, securing of supply chains and jobs in Arkansas,” said Dr. Summer Deprow, Chancellor of the University of Arkansas - Pulaski Technical College.
“Congratulations Standard Lithium on receiving this outstanding award,” said Lafayette County Judge, Valarie Clark. “Lafayette County is grateful for the opportunity to support this great company in their future endeavors.”
“I am very proud of Standard Lithium and their persistence in receiving the funding that has been procured by their organization,” said Columbia County Judge, Doug Fields. “I know personally the challenge there is to obtain funding for a project! I'm proud to give my full support to Standard Lithium, and their endeavors to provide new jobs, new infrastructure, and to see them support the community in much-needed ways, not to mention the boost to our economy! Congratulations to Standard Lithium!”
About the South West Arkansas Project
The South West Arkansas Project (“SWA” or the “Project”) is located in Lafayette and Columbia Counties, Arkansas, and is being developed in partnership with Equinor, which holds a
SWA’s direct lithium extraction and lithium carbonate facilities are planned to be located on a 118-acre property in rural Lafayette County, approximately 7 miles south of Lewisville, Arkansas. The Project is expected to create up to 300 construction jobs and 100 direct jobs and dedicate millions of dollars to community impact efforts that will benefit the local area through infrastructure improvements, community health initiatives, educational partnerships, and workforce development programs.
The Company completed a Preliminary Feasibility Study for the project in 2023, and a DFS and FEED are currently underway.
Qualified Person
Steve Ross, P.Geol., a qualified person as defined by National Instrument 43-101, and Vice President Resource Development for the Company, has reviewed and approved the relevant scientific and technical information in this news release.
About Standard Lithium
Standard Lithium is a leading near-commercial lithium development company focused on the sustainable development of a portfolio of large, high-grade lithium-brine properties in the United States. The Company prioritizes projects characterized by the highest quality resources, robust infrastructure, skilled labor, and streamlined permitting. Standard Lithium aims to achieve sustainable, commercial-scale lithium production via the application of a scalable and fully integrated Direct Lithium Extraction (“DLE”) and purification process. The Company’s flagship projects are located in the Smackover Formation, a world-class lithium brine asset, focused in Arkansas and Texas. In partnership with global energy leader Equinor ASA, Standard Lithium is advancing the South West Arkansas project, a greenfield project located in southern Arkansas, and actively exploring promising lithium brine prospects in East Texas. Additionally, the Company is advancing the Phase 1A project in partnership with LANXESS Corporation, a brownfield development project located in southern Arkansas. Standard Lithium also holds an interest in certain mineral leases in the Mojave Desert in San Bernardino County, California.
Standard Lithium is jointly listed on the TSX Venture Exchange and the NYSE American under the trading symbol “SLI”. Please visit the Company’s website at https://www.standardlithium.com.
About Equinor
Equinor is an international energy company committed to long-term value creation in a low-carbon future. Equinor’s portfolio of projects encompasses oil and gas, renewables and low-carbon solutions, with an ambition of becoming a net-zero energy company by 2050. Headquartered in Norway, Equinor is the leading operator on the Norwegian continental shelf and is present in around 30 countries worldwide. Our partnership with Standard Lithium to mature DLE projects builds on our broad US energy portfolio of oil and gas, offshore wind, low carbon solutions and battery storage projects.
For more information on Equinor in the US, please visit: Equinor in the US - Equinor
Media Contacts:
Allysa Iverson
Standard Lithium Ltd.
a.iverson@standardlithium.com
Ola Morten Aanestad
Equinor
oaan@equinor.com
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release may contain certain “Forward-Looking Statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities laws. When used in this news release, the words “anticipate”, “believe”, “estimate”, “expect”, “target”, “plan”, “forecast”, “may”, “schedule” and other similar words or expressions identify forward-looking statements or information. These forward-looking statements or information may relate to intended development timelines, future prices of commodities, accuracy of mineral or resource exploration activity, reserves or resources, regulatory or government requirements or approvals, the reliability of third party information, continued access to mineral properties or infrastructure, fluctuations in the market for lithium and its derivatives, changes in exploration costs and government regulation in Canada and the United States, and other factors or information. Such statements represent the Company’s current views with respect to future events and are necessarily based upon a number of assumptions and estimates that, while considered reasonable by the Company, are inherently subject to significant business, economic, competitive, political and social risks, contingencies and uncertainties. Many factors, both known and unknown, could cause results, performance or achievements to be materially different from the results, performance or achievements that are or may be expressed or implied by such forward-looking statements. The Company does not intend, and does not assume any obligation, to update these forward-looking statements or information to reflect changes in assumptions or changes in circumstances or any other events affecting such statements and information other than as required by applicable laws, rules and regulations.
FAQ
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