Phoenix, Sept. 14, 2023 – EVelution Energy, an Arizona-based electric vehicle (EV) battery materials processing company, was recognized by the Arizona Commerce Authority (ACA) on Wednesday for its contribution to the state’s economy at a board of directors meeting attended by Gov. Katie Hobbs. EVelution is updating the design of its planned solar powered cobalt processing facility in Yuma County to potentially double its output and produce enough material for use in almost one million EVs a year.
The ACA has awarded the company up to $46 million in state tax credits and incentives, including a $7.2 million Qualified Facilities Tax Credit, for the construction of its cobalt processing facility in return for a $200 million plus investment in Yuma County and the creation of 300 construction jobs and 60 permanent jobs, which may rise to 90 with the proposed expansion.
EVelution Energy’s facility will produce cobalt sulfate for EV batteries, a material crucial to America’s initiative to electrify its automotive fleet and transition to a net-zero economy. The facility, originally designed to produce approximately 33,000 metric tons of EV battery grade cobalt sulfate annually, is now being designed in a modular fashion so that production capacity can be quickly expanded to up to 66,000 metric tons of cobalt sulfate per year, through the installation of additional processing modules.
EVelution Energy’s facility will also be carbon neutral. It will not only generate its own power from solar panels but also deliver surplus clean electricity to nearby farmers while recycling approximately 70% of the water it uses, minimizing its impact on the surrounding environment.
The company plans to hold a groundbreaking ceremony in spring 2024 to celebrate the official start of construction with the support of local government, community and economic development leaders. Construction is expected to be completed and cobalt sulfate deliveries are expected to begin in 2026.
“We thank Governor Hobbs and the Arizona Commerce Authority for their recognition and support,” said Navaid Alam, President of EVelution Energy. “Thanks to their efforts, Arizona is attracting investment and fast becoming a crucial hub for EV battery manufacturing in the United States. Negotiations for the long-term offtake of a substantial portion of our expected production have been going very well, so much so that we are now planning for the possibility of a potential expansion of the facility in the event that North American demand for domestic EV battery materials continues to increase.”
According to the International Energy Agency (IEA), the increase of electric vehicles and overall technological improvements, are expected to lead to an increase in cobalt demand of more than 20 times by 2040.
Design and construction of the facility is being managed by Tucson-based M3 Engineering and Metso Outotec, whose U.S. headquarters are in Phoenix.
EVelution Energy’s solar powered cobalt processing facility is expected to help accelerate the U.S. transition to electric vehicles, help combat climate change, boost U.S. manufacturing jobs and reduce U.S. economic reliance on other countries for critical EV battery materials.
Need an interview or further information? Please contact EVelution Energy’s Press Office at:
About EVelution Energy
EVelution Energy LLC is developing the first American factory to supply some of the critical battery minerals that the U.S. electric vehicle industry needs today. Our carbon-neutral, solar-powered, cobalt sulfate processing plant will be built in a “qualified opportunity zone” in Yuma County, Arizona.
Our leadership team of experienced international infrastructure experts is committed to providing the secure domestic supply chain of critical minerals that U.S. manufacturers need to move forward with confidence.