5E Advanced Materials, Inc., a boron and lithium producer based in Southern California, has announced it has received a non-binding Letter of Interest (LOI) from the Export-Import Bank of the United States (EXIM). The LOI outlines the possibility of establishing a debt facility of up to $285 million, which would be used for the commercial-scale development and construction of the company’s Boron Americas Complex. The funding would fall under EXIM's "Make More in America Initiative" and would carry a repayment period of up to 15 years.
The Boron Americas Complex has been designated as Critical Infrastructure by the Department of Homeland Security's Cybersecurity and Infrastructure Security Agency. This designation underscores the project's strategic importance in enhancing domestic supply chains for critical materials like boron.
Paul Weibel, Chief Executive Officer of 5E Advanced Materials, emphasized the importance of programs like EXIM’s Make More in America Initiative. "The United States has set a clear initiative to derisk from adversaries and establish secure and reliable domestic supply chains. Programs like EXIM’s Make More in America Initiative are essential to ensuring that critical materials like boron are produced domestically," Weibel stated. He added that securing a loan commitment with EXIM would advance both the project and the broader U.S. economy.
The growing demand for boron and its derivatives has increased awareness of the vulnerabilities within the boron supply chain. Boron is used in over 300 applications, including electric vehicles, wind turbines, solar panels, aerospace materials, and defense systems. However, due to its low concentration in the earth’s crust and reliance on foreign suppliers for boron derivatives, the supply chain is increasingly fragile. The LOI reflects the U.S. government’s commitment to strengthening domestic supply chains for critical materials.
5E Advanced Materials expects to formally apply for the EXIM loan in 2025. After submission, EXIM will conduct the necessary due diligence to determine whether a final commitment will be made. The LOI is not a guarantee of funding but signals the potential for further development pending EXIM’s review and compliance with its policies and criteria.