By BEX Staff for AZBEX
EVelution Energy wants to build North America’s first cobalt processing plant in Yuma County.
The Arizona Republic reported that earlier this month, the Yuma County Board of Supervisors unanimously approved a special-use permit request that will allow the company to build the facility on 138 acres between Tacna and Dateland.
According to the submitted site plans, the estimated footprint for the facility will be 130KSF.
The article also cites an economic assessment from the Greater Yuma Economic Development Corporation that the operation can generate up to $300M related to the development, construction, infrastructure improvements and labor associated with the project.
The plant is expected to create 60 direct and 300 indirect jobs once it begins operations. The construction process is expected to involve more than 1,225 jobs and $55M in development income.
EVelution’s facility will be solar-powered and carbon-neutral. The operation will process cobalt sulfate for use in electric vehicle batteries. Cobalt is used in lithium-ion batteries, and most of the raw material is mined in Africa. More than 70% of the cobalt sulfate current refined is produced in China, with most of the remaining production taking place in Finland and Indonesia, according to the article.
The company has pledged both to maintain a transparent supply chain and a dedication to sustainable energy. In the project narrative submitted in support of the request, company officials said, “Power is expected to be provided primarily by the project’s own 28.4 MW (peak) solar power generating arrays, and if necessary, by the Wellton-Mohawk Irrigation and Drainage District (“Wellton-Mohawk”). The primary power source of Wellton-Mohawk is hydropower from the Parker Dam (whose water level has been decreasing and is expected to continue to decrease). As a result, Wellton-Mohawk has expressed an interest to purchase all of the project’s excess solar power production. The estimated power needs for the processing facility are expected to be approximately 6 MW for the 2,000 Mt/month Cobalt processing facility including solar power used for heating water in lieu of propane.”
EVelution’s process will use African-mined cobalt that is shipped to Ensenada, Mexico and then trucked to the Yuma County facility.
The site, located in a Qualified Opportunity Zone, was already permitted for heavy industrial uses as it was originally planned to house an ethanol processing plant that was never developed.
The plant is expected to use 74 million gallons of water/month, which will be sourced from groundwater wells. Roughly 70% of the water will be recycled and reused, according to the Republic.
The Yuma County site was chosen because of its low cost of living; business-friendly regulatory environment; proximity to California, Mexico, Interstate 8 and the Union Pacific Railroad line, and company officials’ personal ties to the area.
Company officials also noted how federal programs under the Inflation Reduction Act—which focuses extensively on sustainable technology and infrastructure development—and the Infrastructure Investment and Jobs Act have increased interest in electric vehicles and their components.
The IRA, in particular, sets rigid domestic production requirements for electric vehicles to qualify for incentives.
Materials submitted in support of the special-use permit request show EVelution Energy LLC is the owner/developer. Site plans were produced by m3architecture. The construction start is targeted for next year, with completion planned in 2025 or 2026.
