Business
Alliance Resource Partners, L.P. Announces $25 Million Strategic Investment in Ascend Elements
TULSA, Okla.--(BUSINESS WIRE)-- Alliance Resource Partners, L.P. (NASDAQ: ARLP) ("ARLP" or the "Partnership") announced today that it has invested $25
About this update from Alliance Resource Partners, L.p.
[{"type":"text","content":" TULSA, Okla.--(BUSINESS WIRE)--\nAlliance Resource Partners, L.P. (NASDAQ: ARLP) (\"ARLP\" or the \"Partnership\") announced today that it has invested $25 million in Ascend Elements, Inc. (\"Ascend Elements\"), a U.S.-based manufacturer and recycler of sustainable, engineered battery materials for electric vehicles, as part of its $460 million Series D funding round. This capital, combined with $480 million in total grants awarded by the Department of Energy, will advance construction of North America's first commercial-scale manufacturing facility, located near Hopkinsville, Kentucky, producing cathode materials for electric vehicle batteries.\n\n\n\"We are excited about our strategic investment in Ascend Elements, which has become a proven leader in the rapidly growing battery and critical material sector supporting electrification of transportation,\" said Joseph W. Craft III, ARLP's Chairman, President, and Chief Executive Officer. \"We see a significant need for recycling solutions outside of China and U.S.-based production of cathode materials to address the growing demand for critical battery materials. Ascend Elements' experienced management team, proprietary technology, and recent commercial success with high-quality OEMs give us the confidence they are well positioned to meet these growing needs while delivering attractive risk-adjusted returns.\"\n\n\nIn close proximity to ARLP’s western Kentucky operations, when complete, the 1-million-square-foot manufacturing facility will produce enough cathode materials for 750,000 electric vehicles per year. Underpinning the financing and initial capacity of its operation, Ascend Elements signed a $1 billion contract earlier this year to supply cathode materials in the fourth quarter of 2024 with options to expand the multi-year contract to a larger volume valued up to $5 billion.\n\n\nMr. Craft closed, \"Beyond this initial investment, we look forward to exploring more strategic opportunities with Ascend Elements to expand our investment in the battery recycling industry and leverage our unique operational expertise, geographic footprint, and strategic relationships in Kentucky and the surrounding battery-belt states to further unlock value and growth for both companies.\"\n\n\nAbout Alliance Resource Partners, L.P.\n\n\nARLP is a diversified energy company that is currently ...