Novonix Secures $754.8M DOE Loan for EV Facility

Novonix (ASX: NVX) has received a conditional commitment from the U.S. Department of Energy for a direct loan of up to $754.8 million to help finance a new facility in Chattanooga, Tennessee, aimed at producing synthetic graphite for electric vehicle (EV) batteries. This facility is expected to generate 31,500 tonnes of synthetic graphite annually, sufficient to support batteries for approximately 325,000 EVs each year, and is projected to create about 950 jobs. The funding is part of the DOE's Advanced Technology Vehicles Manufacturing Loan Program, reflecting growing demand for domestic battery materials amidst China's dominance in the graphite market. Novonix's CEO emphasized the importance of local production in light of recent Chinese export scrutiny on battery-grade graphite. If finalized, the facility will begin commercial production in 2025, with full capacity anticipated by 2028.