Trump’s Department of Energy has disclosed that it would be reclaiming $3.7 billion in awards for renewable energy and manufacturing that were granted during the Biden administration.
The decision affected both large corporations and emerging firms.
According to Chris Wright, the Energy Secretary, the Trump administration’s actions were “due diligence.”
His statement did not provide specific reasons for the project cancellations; however, it referenced a memorandum he issued on May 15, which implies that the department may attempt to revoke the awards by utilizing its audit powers.
The decision has an impact on 24 projects, including those being developed by oil and gas behemoth Exxon Mobil, food manufacturer Kraft Heinz, industrial heat startup Skyven, cement and alumina startup Brimstone, and cement startup Sublime Systems.
The following is a selection of the awards that are currently being played on Jeopardy:
• American Cast Iron Pipe Company (metal manufacturing): $75 million
• Brimstone Energy (low-carbon materials): $189 million
• $270 million for Calpine’s Baytown Energy Center, a natural gas generating facility.
• $270 million for Calpine’s Sutter Energy Center, a natural gas generating facility.
• Eastman Chemical Company’s Longview Plant (molecular plastic recycling): $375 million
• Exxon Mobil’s Baytown Olefins Plant (chemical plant): $331.9 million
• $15.3 million for Skyven Technologies (heat pump steam generation)
• Sublime Systems (low carbon cement): $86.9 million
Sublime disclosed to the media that it was taken by surprise.
“Sublime was taken aback and disheartened to learn of the termination of our Industrial Demonstrations Program award, as we have made significant strides in the expansion of our American-invented technology, the establishment of partnerships with some of the largest cement producers in the Western World, and the cultivation of a bankable customer base,” stated spokesperson Rob Kreis in an email.
The startup is currently in the process of assessing its options for further expanding its operations.
Brimstone remains optimistic that the DOE can be persuaded to resolve the matter.
“We are of the opinion that this was a misinterpretation, given the fact that our project is in direct support of President Trump’s initiative to boost the production of critical minerals in the United States.”
Liza Darwin, a spokesperson for Brimstone, informed a top tech blog via email that the Rock Refinery is the sole economically viable method of producing the critical mineral alumina in the United States from U.S.-mined rocks.
“Our initiative, which would also produce Portland cement, would establish a “mine-to-metal” pathway for U.S. aluminum production, thereby strengthening the critical mineral supply chain in the United States and generating thousands of employment”, she continued.
