EVgo, one of the largest fast charging networks in the U.S

EVgo, one of the largest fast charging networks in the U.S., announced a definitive agreement for a business combination with Climate Change Crisis Real Impact I Acquisition Corporation, a special purpose acquisition company already publicly traded on NYSE (CLII).

It’s amazing how quickly the SPAC’s are spreading in the EV industry. Just a few months ago we saw that ChargePoint is also going public through SPAC.

EVgo was founded in 2010 by NRG, but then sold to Vision Ridge Partners in 2016. In early 2020, the company was acquired by LS Power and soon it will be publicly listed.

At the current stage, EVgo has more than 800 charging locations in 67 major metropolitan markets across 34 states. The number of customers exceeds 220,000, which is some 40,000 more than a year ago (over 180,000).

 

According to the transaction overview, the combined company will be evaluated at $2.6 billion (100% of EVgo shares will translate into 74% of the combined company) and net cash proceeds are estimated to be approximately $575 million.

The company intends to use the money to further expand the network. We must remember that EVgo also has a deal with GM to add more than 2,700 individual new fast chargers in the next five years (2021-2025).

“The pro forma implied market capitalization of the combined company is $2.6 billion at the $10 per share PIPE subscription price, assuming no CRIS shareholders exercise their redemption rights. Net cash proceeds are estimated to be approximately $575 million, comprised of $400 million from the PIPE and approximately $230 million of cash held in trust by CRIS before any adjustments due to redemptions by CRIS shareholders and payment of deferred underwriting compensation, less transaction expenses.

Proceeds will be used to fuel EVgo’s growth strategy, including the buildout of its charging infrastructure network, and will enhance the company’s position as the market leader in the transition to clean mobility. LS Power and EVgo management, who together own 100% of EVgo today, will be rolling 100% of their equity into the new company, and is estimated to represent approximately 74% of the company upon transaction close.”

ABML has achieved three critical milestones that enable the Company to move ahead in permitting, constructing, and commissioning its pilot lithium-ion battery recycling plant in Fernley, Nevada:

ABML is a smart play on the electric vehicle (EV) boom with its pilot lithium-ion battery recycling plant in Fernley, Nevada. Elon Musk has said repeatedly that his biggest obstacle is ensuring that Tesla has enough raw materials to meet the demand for the lithium-ion batteries it needs.

Over the past three months, ABML has achieved three critical milestones that enable the Company to move ahead in permitting, constructing, and commissioning its pilot lithium-ion battery recycling plant in Fernley, Nevada:

  1. Purchased the Pilot Factory Land – ABML purchased 12.44 acres of undeveloped land located at 345 Winston Lane, Fernley, Lyon County, Nevada. ABML will be constructing five separate building areas on this property to create a Pilot Plant campus that includes: Production Process Areas, Feedstock Sorting Area, Analytical Laboratory Spaces & Process Development Bays, a Storage Warehouse, and general Office Space.
  2. Secured Water Rights – ABML has secured multiple water allocations from the Fernley Area Basin 76 (Lyon, Washoe, Storey, and Churchill Counties) of Nevada’s West Central Region (Hydrographic Region 5). By securing these water rights, ABML ensures it can operate its pilot facility at full throughput with adequate water capacity for many years to come.
  3. Hired Design/Build Construction Firm – ABML has selected Miles Construction as the design-build contractor for its Fernley pilot plant campus. ABML is finalizing its permitting processes with the City and NDEP and will announce updated permitting and construction timelines in early 2021.

Furthermore, former Tesla executive Ryan Melsert and his team at ABML have been awarded $4.5 million in gov funding for field demonstration of selective leaching, targeted purification, and electrochemical production of battery-grade lithium hydroxide precursor from domestic claystone resources.

Our only concern is that ABML now has a $975 million market cap. Shorts are bound to get aggressive.

DOE Awards American Battery Metal Corp (ABML) With $2.2 Million in Funding

Topic 1, Area of Interest 2: Improved Beneficiation, Separation and/or Processing

  • PUREgraphite LLC; High Efficiency Continuous Graphitization Furnace Technology for Lithium-Ion Battery Synthetic Graphite Material
    Partners: Harper International, Phillips66
    DOE funding: $5,577,738; cost share: $5,925,475; Total costs: $11,503,213

  • American Battery Metals Corporation; Field Demonstration of Selective Leaching, Targeted Purification, and Electro-Chemical Production of Battery Grade Lithium Hydroxide Precursor from Domestic Claystone Resources
    Partners: American Lithium Corporation, DuPont Water Solutions
    DOE funding: $2,272,112; costs share: $2,272,112; Total costs: $4,544,224

DOE awarding more than $50M to 15 projects including American Battery Metals Corporation (ABML)

The US Department of Energy (DOE) is awarding more than $50 million in funding for 15 projects focused on field validation and demonstration—as well as next-generation extraction, separation, and processing technologies—for critical materials.

Critical materials are used in many products important to the US economy and energy technologies, such as rare-earth elements used to manufacture high-strength magnets for offshore wind-turbine generators and lithium and cobalt in lithium-ion batteries for electric vehicles.

Projects selected under this funding opportunity announcement will reduce both the costs of critical materials and the environmental impacts of production. The projects are divided into two main topic areas:

  • Field Validation and Demonstration of Extraction, Separation, and Processing Technologies. Four projects were selected under this topic to validate improved upstream extraction and midstream separation and processing technologies of critical materials at scales that facilitate the next step to commercialization.
  • Next-Generation Extraction, Separation, and Processing Technologies. Eleven projects were selected under this topic to develop early to mid-stage R&D alternative, cost-competitive technologies for upstream extraction and midstream separation and processing of critical materials key to energy technologies.

Topic 1, Area of Interest 2: Improved Beneficiation, Separation and/or Processing

  • PUREgraphite LLC; High Efficiency Continuous Graphitization Furnace Technology for Lithium-Ion Battery Synthetic Graphite Material
    Partners: Harper International, Phillips66
    DOE funding: $5,577,738; cost share: $5,925,475; Total costs: $11,503,213
  • American Battery Metals Corporation; Field Demonstration of Selective Leaching, Targeted Purification, and Electro-Chemical Production of Battery Grade Lithium Hydroxide Precursor from Domestic Claystone Resources
    Partners: American Lithium Corporation, DuPont Water Solutions
    DOE funding: $2,272,112; costs share: $2,272,112; Total costs: $4,544,224

Topic 1, Area of Interest 3: Large Scale Projects

  • General Atomics; Rare Earth Element (REE) Separation and Processing Demonstration Project
    Partners: Rare Element Resources, Inc., Umwelt- und Ingenieurtechnik GMbH Dresden, LNV LLC
    DOE funding: $21,989,530; Cost share: $21,989,530; Total costs: $43,979,060
  • BHER Minerals, LLC; Electrolytic Production of Battery-Grade LiOH•H2O from Geothermal Brine
    Partners: ZAP Engineering & Construction Services, Inc., CalEnergy Operating Corp, Lawrence Berkeley National Lab, Imperial Valley Economic Development Corporation, Momentum
    DOE share: $14,894,540; Cost share: $14,894,541; Total costs: $29,789,081

Topic 2, Area of Interest 1: Rare Earth Element Separation

  • Phinix,LLC; Rare Earth Element Separation Using Gas-Assisted Micro-Flow Extraction with Task-Specific Ionic Liquids
    Partners: NICHE Industrial Chemicals, Virginia Polytechnic Institute and State University
    DOE share:$500,000; Cost share $225,000; Total costs: $725,000
  • Technology Holding LLC; Next Generation Separation Method for Rare Earths
    Partners: Massachusetts Institute of Technology
    DOE share: $499,673; Cost share: $124,999; Total costs: $624,672

Topic 2, Area of Interest 2: Conversion to Rare Earth Metals (RE-metals)

  • University of Wyoming; Generation of Rare Earth Metals from Rare Earth Oxides by Using Microwave Plasma
    Partners: Colorado School of Mines, Ames Laboratory, Eutectix, Rare Element Resources
    DOE share: $500,000; Cost share: $125,500; Total costs: $625,500
  • Case Western Reserve University; Novel Electrowinning Reactor for the Energy-Efficient, Low-Cost Production of Rare Earth Metals
    Partners: Lawrence Livermore National Laboratory
    DOE share: $500,000; Cost share: $125,000; Total costs: $625,000
  • University of Virginia; Development of Industrial Scale Rare Earth Master Alloys from Their Native Oxides for Magnet Production
    Partners: Ames Laboratory
    DOE share: $500,000; Cost share: $125,000: Total costs: $625,000

Topic 2, Area of Interest 3: Li Extraction from Unconventional Sources

  • National Renewable Energy Laboratory; Advanced Mineral Separations with Novel Simulated Moving Beds
    Partners: Colorado School of Mines, Critical Materials Institute, Shell International Exploration & Production, Inc., Standard Lithium
    DOE share: $500,000; Cost share: $156,380; Total costs: $656,380
  • Oregon State University; Microchannel-based Membrane-less Extraction of Li from Unconventional Lithium Sources & the Separation of REE
    Partners: University of Pittsburgh
    DOE share: $500,000; Cost share: $125,000; Total costs: $625,000
  • Pacific Northwest National Laboratory; Lithium Recovery from Unconventional Sources Using Magnetic Core-Shell Nanoparticles
    Partners: Moselle Technologies, Enerplus Corporation, Prairie Lithium Corporation, Enertopia Corporation, and Dajin Lithium Corporation Richland, WA
    DOE share: $425,000; Cost share: $160,000; Total costs: $585,000
  • 525 Solutions, Inc.; Ultra-High Capacity Adsorbent Nanofibrous Mats for the Recovery of Lithium from Seawater, Geothermal Brines, and Beyond
    Partners: Oak Ridge National Laboratory, Wyonics, LLC, University of Wyoming
    DOE share: $500,000; Cost share: $125,024; Total costs: $625,024
  • University of Texas at Austin; Direct Conversion of Li-Ions to Li-Metal from Domestic Brines or Produced Water through Electromagnetically-Controlled Dendritic Electrodeposition
    Partners: University of California, Berkeley, Oak Ridge National Laboratory, Critical Materials Institute
    DOE share: $500,000; Costs-share: $125,000; Total costs: $625,000
  • Mineral Selective Technologies; Informed design of crystalline ion exchangers: Improved λ-MnO2 phase for lithium extraction from geologic fluids
    Partners: Natural History Museum of Los Angeles, Oak Ridge National Laboratory, Geo40, Ltd.
    DOE share: $400,000; Cost share: $100,000; Total costs: $500,000

This funding opportunity is part of DOE’s efforts to reduce American dependence on imported critical materials by both diversifying the sources of materials needed for energy technologies and establishing domestic capabilities to refine materials used in manufacturing.

Projects are funded through the Office of Energy Efficiency and Renewable Energy’s Advanced Manufacturing Office, which supports the development of technologies that improve energy efficiency in US manufacturing as well as foundational, cross-cutting manufacturing processes, information, and materials technologies critical to efficient and competitive domestic manufacturing.

Amazon Takes a Stake in Electric Truck & Bus Manufacturer: Lion Electric (NGA) Northern Genesis Acquisition

The special-purpose acquisition company (SPAC) is preparing to merge with electric-bus maker Lion Electric, which revealed in a regulatory filing last week that Amazon (NASDAQ:AMZN) has secured an option to purchase a stake in the company. 

As of 12:45 p.m. EST today, Northern Genesis shares were up about 8.2% from Friday’s closing price.

  • Lion agreed to reserve enough manufacturing capacity to deliver 500 of its electric trucks per year to Amazon from 2021 to 2025, and then either 500 trucks a year or 10% of its manufacturing capacity per year, whichever is greater, from 2026 through 2030. 
  • Amazon also has an option to purchase a 15.8% stake in Lion.