Stardust Power Secures Funding and Final Permit for Major U.S. Lithium Refinery

Stardust Power gains final air permit and $10M financing, advancing its Oklahoma lithium refinery to supply battery-grade material for EVs and energy storage.

Stardust Power has achieved two pivotal milestones, advancing its plans to construct a significant domestic lithium refining facility in the United States. The company has secured fresh capital and obtained its last major regulatory approval, moving its Oklahoma-based megaproject into a new phase of development. This progress highlights a strategic effort to bolster the American supply chain for battery-grade lithium.

Final Regulatory Approval Clears Path for Construction

In a crucial step, the Oklahoma Department of Environmental Quality (ODEQ) granted Stardust Power its final air quality permit in January. This authorization represents the last substantial regulatory hurdle required to commence construction and operation of the proposed refinery in Muskogee.

The ODEQ confirmed the facility's design meets stringent environmental standards and classifies it as a minor source of emissions. A key feature of the project is a closed-loop water system designed to recycle process water and eliminate wastewater discharge. With this permit in hand, the company has significantly reduced the project's timeline risk related to regulatory processes.

Strategic Financing Agreement Provides Capital Flexibility

To support the project's next stages, Stardust Power has entered into a financing arrangement with B. Riley Principal Capital II. This agreement provides the company with access to up to $10.0 million over a 36-month period. The flexible instrument allows Stardust Power to sell shares at its discretion to raise capital.

The funds are primarily earmarked for site preparation, construction of the refinery, and general working capital requirements. This financial backing provides the company with increased flexibility as it moves toward a final investment decision.

Positioning for a Key Role in the Domestic Supply Chain

The Muskogee refinery is designed with a planned annual production capacity of up to 50,000 tons of battery-grade lithium carbonate. Upon completion, it is poised to become one of the largest facilities of its kind in the nation. The project directly addresses growing demand from electric vehicle manufacturers and energy storage system producers seeking locally sourced battery materials.

With the permitting process now complete, Stardust Power is preparing its final investment decision. Physical construction is expected to begin immediately following the securing of full project financing. Given the rarity of fully permitted projects of this scale in the U.S., the Oklahoma facility strengthens Stardust Power's strategic position within the domestic energy sector and could lessen reliance on foreign lithium processing supply chains.