Cabot lands modified $50M DOE grant to expand US battery materials output
What's the deal? Cabot CorporationDealroom has a profile for this one. Try Dealroom → has secured a modified $50 million grant from the US Department of Energy's Office of Critical Minerals and Energy InnovationDealroom has a profile for this one. Try Dealroom → to expand its North American battery materials platform. Combined with roughly $75 million of Cabot investment, the money will fund expanded production of advanced conductive additives in Louisiana and Texas.
Why now? Cabot is targeting rising demand for battery materials tied to energy storage, grid modernization, electrification, and growing power needs from AI infrastructure and data centers.
What's the endgame? The grant redirects funding from Cabot's originally announced Michigan project to a two-site brownfield expansion. By using existing plants, the company aims to build a local, secure supply of conductive additives for the domestic battery chain faster.
At its Franklin, Louisiana facility, Cabot will produce LITX advanced battery-grade conductive carbons. At Pampa, Texas, it will establish the first commercial-scale production of carbon nanostructures, its most advanced conductive additive technology. Both projects are expected to be operational by the end of 2028.
The company said the work will support manufacturing and construction jobs while strengthening US leadership in battery materials.
What they said: "This investment represents an important step in our strategy to build a differentiated battery materials business that supports some of the most significant growth trends shaping the global economy," said Sean Keohane, president and chief executive officer of Cabot.
The signal: The award ranks in the 96th percentile by size among all-time US energy grants in Cabot's peer bucket, underscoring how governments are funding domestic supply chains for critical battery inputs as electrification and AI-driven power demand accelerate.
Image credit: Generated with Gemini
