TechMet will use the funds to invest in its Brazilian Nickel, which owns a nickel and cobalt project in the state of Piauí
US seeks to reduce reliance on China’s imports for critical metals. (Credit: StockSnap from Pixabay)
Technology metals company TechMet has received $25m investment from the US International Development Finance Corporation (DFC).
The company will utilise the funds to invest in its Brazilian Nickel, which owns a nickel and cobalt project in the state of Piauí.
The investment will be used for the development of the first phase of commercial production at the project, which is expected to create jobs while bolstering economic growth in one of the most underdeveloped regions in the country.
TechMet’s other core investments include lithium-ion battery recycling with a producing plant in Canada and a plant under construction in Rochester, New York.
TechMet chairman and CEO Brian Menell said: “We are very pleased to have secured this funding and support from DFC, which enables Brazilian Nickel PLC to begin the commercial production of nickel and cobalt products used in the production of EV batteries. Having this level of US support is a great endorsement of TechMet’s team and strategy.
“TechMet represents a real opportunity for its investors not only to profit from the impending supply-demand dislocation for critical metals, but also to invest into ethical sources of supply that are aligned with US interests, thereby playing a part in redressing the supply-chain imbalance.”
US focuses on reducing reliance on China for critical metals
The investment by DFC comes as the US government focuses on reducing reliance on China’s supply of metals that are said to be critical to the energy revolution, TechMet said.
Supporting the US interest, TechMet has committed to help in developing an independent supply of critical metals.
The latest investment forms part of TechMet’s Round 2 equity raising. It brings the total amount raised to $50m of the $80m target.
The US International Development Finance Corporation CEO Adam Boehler said: “This important financing will support economic growth in one of Brazil’s most underdeveloped areas.
“Investments in critical materials for advanced technology support development and advance U.S. foreign policy.”