Equinor and Standard Lithium Score a Hefty $225 Million U.S. Department of Energy Funding for South West Arkansas Initiative

Industry titan Standard Lithium Ltd, being a front-running lithium developer on the brink of going commercial, and international energy juggernaut Equinor recently hit a jackpot. Their cooperative venture on American soil, SWA Lithium LLC, has clinched a sizeable $225 million grant from the U.S. Department of Energy’s Office of Manufacturing & Energy Supply Chains. This substantial funding aims to bolster the progress of the much-anticipated South West Arkansas venture’s Phase 1.

Standard Lithium CEO, David Park, couldn't help but express his joy about the secured DOE grant, considering it an acknowledgment of the top-notch nature of the South West Arkansas project. He remarked that the SWA project, being among the premium lithium brine projects across North America, presents a viable and sustainable resolution to fortify the national lithium supply chain, owing to its use of DLE technology.

Hege Skryseth, the Executive VP in charge of technology, digital innovation at Equinor, voiced her optimism over the DOE's support which underlines the project's advanced stage, and the financial solidity as the collaborators tread closer to making the final investment choice. She commented, "Partnering with Standard Lithium to fine-tune the US lithium supply chain using state-of-the-art technology while working closely with the local community is something we always look forward to."

The SWA initiative is projected to be among the premier global commercial-grade Direct Lithium Extraction facilities. Located within the Lafayette and Columbia Counties in Arkansas, the project is on course to yield 45,000 tonnes of lithium carbonate yearly, executed in two phases of 22,500 tonnes each. The development is a mutual endeavor between Equinor and Standard Lithium, with the ownership fractions at 55% and 45% respectively.

A definitive analysis and preliminary engineering sketch for the venture are currently in action. The collaboration targets to arrive at the Final Investment Decision by the twilight of 2025, with Phase 1 kickstarting possibly by the year 2028.

As per the grant's specifications, the initiative will be under NEPA (National Environmental Policy Act) regulations and necessitates an Environmental Assessment completion. The company anticipates wrapping up the EA within this year, prior to attaining the FID. Further details including public review and commentary opportunities will be released progressively starting from 2025.

David Park reiterated his pledge towards making the venture a major success for the locals around Lewisville and southwest Arkansas in particular. For him and his team, it signifies the creation of nearly 100 direct, sustainable jobs, and another 300 constructions-related vacancies, with an assured 40% local hiring for the operations workforce.

The Project also stands to bring considerable benefits for the local residents through improvements in infrastructure, healthcare provisions, educational collaborations, and workforce skill improvement programs.