WEATHERSFIELD — A Canadian company attempting to develop a complete domestic U.S. supply chain for advanced graphite material plans to invest $435 million to build a graphite anode manufacturing plant in the township to support the electric-vehicle industry.

Graphite One (Alaska), a wholly owned subsidiary of Vancouver, British Columbia-based Graphite One Inc., has signed a 50-year land lease agreement for 85 acres at the site that previously kept the Defense National Stockpile Center on Warren Avenue.

According to a news release issued Wednesday, it is anticipated the facility will manufacture synthetic graphite anode active materials. Production will be added as soon as feedstock from the company Graphite Creek project near Nome, Alaska, is available.

“Graphite One is delighted to announce that, subject to financing, we will be building our advanced graphite material processing plant in Northeast Ohio as the region emerges as a major electric vehicle hub. On a historical note, it’s great to come full circle, this site also known as the old Warren Depot included graphite in the National Defense Stockpile more than 30 years ago, the last time the U.S. actually mined graphite,” Anthony Huston, president / CEO of Graphite One said. “Ohio is the perfect home for the second link in our strategy to build a 100% U.S.-based advanced graphite supply chain — from mining to refining to recycling. The U.S, simply cannot maintain a 21st century tech-driven economy without critical minerals like graphite.”

According to the company, its Phase One production target is 25,000 tons per year of battery-ready anode material, and the land is available for additional phases to ramp to 100,000 tons of production per year.

Phase One is expected to cost approximately $435 million and employ more than 160 people. The company is considering various project-financing options.

Under the land lease agreement, Graphite One has the option to purchase. Construction is to begin within 36 months, subject to financing.

In addition, the company has a five-year, right-of-first-refusal to lease or acquire up to 30 contiguous acres.

The brownfield site has been processed through the Ohio Environmental Protection Agency’s Voluntary Action Program, which means it has received a clean bill of health.

The release highlighted the site’s attributes, stating it is in an area with “ample low-cost electricity produced from renewable energy sources,” as well as being accessible by rail and road with nearby barging facilities. Existing electrical lines there are sufficient to power the company’s Phase One plan, and the water supply is sufficient to support expanded operations.

REACTION

“This is the culmination of real data-driven economic development and years of work,” Rick Stockburger, president / CEO of BRITE Energy Innovators in Warren said. “Graphite One found a great partner in Valley Properties and Herb Crowther to come to Warren, Ohio, the capital of Voltage Valley.”

Valley Properties is the company that owns the former Republic Steel office building adjacent to the former steelmaking site on Pine Avenue in Warren. The company also has a role in remaking Trumbull Family Fitness, the former downtown Warren YMCA, into apartments.

Stockburger said BRITE worked with JobsOhio — Ohio’s private nonprofit economic development corporation — and the Natural Resources Defense Council on a strategy to attract an EV-supply chain.

Said Guy Coviello, president / CEO of the Youngstown / Warren Regional Chamber, “This company is the real deal, and, if the stars continue to align, we will soon welcome another wonderful company into our rapidly growing community.”

“This is further proof that regional collaboration works. BRITE Energy Innovators, Weathersfield Township and others all played a role in getting us here. We still have work to do, but we’re inching closer to the finish line on this project.”

MORE SUPPORT

The chamber and David Rouan, township administrator for Weathersfield, have sent letters to the U.S. Department of Energy in support of Graphite One’s application for funding through the department’s Battery Materials Processing and Battery Manufacturing funding opportunity.

According to grants.gov, the estimated total program funding is $3.5 billion. The award ceiling is $300 million.

To align with the project’s goals, Rouan wrote the township is committed to being a part of a developing an agreement that will ensure the success of the project while maximizing the positive impacts to the community.

“Our collaboration with Graphite One and other stakeholders will focus on creating opportunities for local development, job creation and technological innovation, thereby contributing to the broader objectives of enhancing the U.S.’s competitive edge in the global battery manufacturing industry,” Rouan wrote.

RECENT FUNDING

In July, the U.S. Department of Defense signed a $37.5 million agreement with Graphite One (Alaksa) “to secure a reliable, sustainable supply of graphite materials within the U.S. to be used in the production of large-capacity batteries,” according to a defense department release.

The funds, appropriated by the Inflation Reduction Act, will help Graphite One (Alaska) develop a domestic advanced graphite supply chain anchored around the company’s Graphite Creek resource.

The supply chain strategy includes mining from Graphite Creek and processing the graphite ore through an advanced material and battery anode plant expected to be sited in Washington state, however, it’s unclear if this site is in addition to Weathersfield or was in competition with Weathersfield for the manufacturing plant.

The defense department release also states the company’s strategy includes a recycling facility to reclaim graphite and other battery materials at the same site as the advanced materials manufacturing site.

Have an interesting story? Contact Business Editor Ron Selak Jr. at rselak@tribtoday.com.