Deadline: 15-Dec-2025
The U.S. Department of Energy (DOE), National Energy Technology Laboratory (NETL) intends to issue a Notice of Funding Opportunity (NOFO) on behalf of the Office of Fossil Energy and Carbon Management (FECM).
The U.S. Department of Energy’s (DOE) Office of Fossil Energy and Carbon Management has announced its intent to issue a new funding opportunity aimed at leveraging American industrial capabilities to recover critical minerals and materials from existing industrial processes. This initiative is grounded in key legislative frameworks including the Energy Act of 2020 and the Infrastructure Investment and Jobs Act (IIJA), as well as relevant executive orders focused on bolstering domestic supply chains for vital minerals.
The planned funding opportunity will prioritize investments in U.S.-based industrial facilities with the potential to produce valuable mineral byproducts. Targeted industries include mining, mineral processing, power generation, coal, oil and gas, specialty metals, and basic materials sectors. These industries hold promise for addressing critical mineral vulnerabilities, especially for smaller-market materials like gallium, germanium, indium compounds, antimony, and bismuth—minerals that currently depend almost entirely on foreign byproduct recovery. Notably, export restrictions imposed by China on these materials as of August 2025 have caused significant disruptions in global supply chains and heightened price volatility.
This initiative aims to advance technologies that can be piloted at industrial scale using real, rather than simulated, feedstocks to reduce technical and financial risks and pave the way for commercial deployment. Facilities participating in the program are expected to design, build, and operate pilot-scale recovery operations focused on extracting critical minerals and materials sustainably and efficiently. The goal is to produce market-ready minerals such as cobalt, nickel, magnesium, manganese, gallium, germanium, lithium, and rare earth elements, with a particular emphasis on sustainable processes supported by automation and artificial intelligence where possible.
The funding opportunity will be divided into two key areas. The first area focuses specifically on coal-based industries, encouraging pilot projects that recover critical minerals from coal-related feedstocks and waste materials. This segment has an allocation of $75 million in government funding, aiming to award up to three projects with funding ranging from $10 million to $50 million per award. Applicants will be required to cost-share between 20% and 50% of the project expenses and demonstrate technology readiness levels between 5 and 7, aiming for commercial viability by 2028 to 2030.
The second area opens the opportunity to all industrial sectors capable of critical minerals and materials recovery. With $175 million in government funding available, this category expects to support up to seven awards, also ranging from $10 million to $50 million each. Similar cost-sharing and technology readiness level requirements apply here as well.
Overall, this funding initiative represents a strategic effort to strengthen domestic supply chains, reduce reliance on foreign sources, and support the commercialization of innovative mineral recovery technologies. By enhancing the capacity of American industrial facilities to recover and process critical minerals, the program seeks to secure a more resilient and sustainable supply of essential materials vital for national security, economic competitiveness, and energy independence.
For more information, visit Grants.gov.
