💙 🔷 Not impressed by Big Tech in Q3? Explore these Blue Chip Bargains insteadUnlock them all

Mullen eyes $50 million DOE grant for battery production

EditorAhmed Abdulazez Abdulkadir
Published 2024-01-08, 10:08 a/m
© Reuters.
MULN
-

BREA, Calif. - Mullen Automotive, Inc. (NASDAQ: NASDAQ:MULN), an emerging electric vehicle (EV) manufacturer, has announced its intent to secure a $50 million grant from the U.S. Department of Energy (DOE) to bolster its battery pack production capabilities. This move comes as part of a broader federal initiative to strengthen the domestic advanced battery sector.

The company, through its subsidiary Mullen Advanced Energy, LLC, submitted a Concept Paper detailing its strategy to manufacture approximately 150,000 battery packs in the United States by 2032. These packs will be used in Mullen's EVs, which are assembled at its plant in Tunica, Mississippi. The proposed plan aims to cut current battery costs by over 20%, thereby enhancing Mullen's competitive edge in the market.

The DOE grant, if awarded, will be directed towards capital investment for plant equipment and tooling at Mullen's new 122,000-square-foot facility in Fullerton, California. This facility, announced on November 13, 2023, focuses on the development and production of next-generation EV battery packs.

David Michery, CEO and chairman of Mullen Automotive, expressed the company's commitment to supporting U.S. battery manufacturing, starting with their Fullerton facility. The Concept Paper submission is a preliminary step before Mullen submits a formal application for the DOE funding, expected by March 19, 2024.

Mullen Automotive has been expanding its footprint in the EV market, with a portfolio that includes the Mullen FIVE EV Crossover, Mullen-GO Commercial Urban Delivery EV, and a range of commercial electric vehicles. The acquisition of Bollinger Motors and assets from Electric Last Mile Solutions™ has further extended its capabilities.

The DOE's funding opportunity, announced on November 13, 2023, is backed by up to $3.5 billion from the Bipartisan Infrastructure Law. It aims to ensure the U.S. has a robust battery materials processing industry, critical for the nation's energy independence and the growth of the EV sector.

The information for this report is based on a press release statement.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.