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Elon Musk’s Supply Chain All Set To Change the Energy Sector The Syrah graphite plant in Vidalia, which is backed by millions
in federal financing, is poised to treble in size to supply electric vehicles. A plain metal building surrounded by farm fields south of Vidalia may appear to be an unusual location for a key nexus of the electric vehicle sector.
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ut that's exactly what it's about to become. Since 2018, the Australian mining company Syrah Technologies has been processing the mineral graphite within the building as part of a pilot program. Lithium-ion batteries use graphite as a significant component. Syrah plans to more than treble the plant's footprint with the support of a $107 million federal loan announced recently. This will result in the creation of 36 new employment as part of a project to build the first commercial-scale graphite processor in the United States, which will generate Active Anode Material, which is used in electric car batteries. It will give the corporation a presence in the expand30 | SKILLINGS MINING REVIEW June 2022
ing electric vehicle supply chain in the United States, having previously signed a deal to supply Elon Musk's Tesla from the plant. It also reflects how state authorities see the global energy transition toward greater renewable energy as an opportunity for rural Louisiana. According to Louisiana Economic Development Secretary Don Pierson, Syrah could be the tip of the spear regarding clean energy technology in Louisiana. "A number of components are going to be required," he stated. Louisiana companies "are well positioned to get into that" if demand grows, he added. According to Pierson, other businesses, such as solar and carbon capture, might also thrive in
Louisiana's less inhabited areas. LED has made regenerating rural communities a priority, according to him. 'EXTREMELY LARGE'
Vidalia, in Concordia Parish, is located 90 miles north of Baton Rouge, directly across the Mississippi River from Natchez. Over a little more than 60 businesses in the area are already working with Syrah, according to Mayor Buz Craft, who took office in 2016. He expects a boost to the city's coffers. "It's big," Craft said, not just for Vidalia but for the entire region. The company's growth "might result in around $2 million in sales taxes per year." The Syrah land is only a few thousand feet from the river, allowing for easy shipping. Syrah is to invest $175 million in the facility, adding 180,000 square feet to the existing 50,000 square feet. Construction is ready to hit this year, with anode production beginning in 2023.
