The key facts

  • 6K received conditional approval of a $250 million loan from the U.S. Department of Defense for a plant in Tennessee
  • The earlier $50 million DOE grant, awarded in 2023, was canceled by the Trump administration
  • The plant is to produce cathode materials without dependence on Chinese suppliers

Conditional $250 million loan

6K, a startup from North Andover, Massachusetts, that has been operating for 12 years, announced on Thursday that it has received conditional approval for a $250 million loan from the U.S. Department of Defense. The funds will go toward building a plant in Tennessee that will produce cathode materials — a key battery component — using a technology that does not depend on Chinese suppliers. This was reported by TechCrunch citing the company's press release.

Technology and revised plans

6K's process uses microwaves to heat metals to a plasma state, followed by deposition onto a surface, which reduces the number of steps in cathode material production. The company says the technology is applicable to various battery types, including lithium iron phosphate (LFP).

Grant cancellation and delays

The project's history has been rocky: 6K previously received a $50 million grant from the Department of Energy under the bipartisan infrastructure law, but in 2023 the Trump administration canceled it during a sweeping review of Biden-era awards, and the company had to reapply. The plant was originally slated to open in 2024, but the grant cancellation and uncertainty in the electric vehicle market forced the company to revise its plans, TechCrunch notes.