The Department of Energy is moving ahead with a Biden-era loan for a gigafactory that plans to make advanced battery components for electric vehicles and data centers.
In a statement Wednesday, DOE said it was releasing the first disbursement — roughly $77 million — of a $1.3 billion loan to ENTEK finalized in November. The money will go toward building a facility in Terre Haute, Indiana, that would produce materials that help prevent batteries from short circuiting. When the loan was announced last year, ENTEK said the plant would primarily support EVs.
The move is notable as the administration pushes to cut funding for EVs, with the Republican megalaw eliminating a key incentive.
In its statement, DOE did not mention EVs, noting the factory’s components could be used in data centers, energy storage and consumer electronics.