SAN DIEGO, Nov. 13, 2024 (GLOBE NEWSWIRE) -- (NASDAQ: NEOV), NeoVolta Inc., a leading innovator in energy storage solutions, announced today that it has completed phase one of its loan application for $250M from the U.S. Department of Energy (DOE) Title 17 Loan Program (LPO) and has been approved to proceed with phase two technical due diligence.
To meet domestic content requirements for commercial grade Battery Electric Storage Systems (BESS) and other components, the company will establish a state-of-the-art manufacturing facility that can accommodate more than 150 high-paid employees.
Additionally, NeoVolta will establish regional deployment and support centers to meet growing demand nationwide. The company will vertically integrate the manufacturing supply chain, primarily producing its battery cell technology, both cylindrical and prismatic. A percent of that production will be utilized for 3rd party sales, enabling more manufacturers to participate with domestic content. The company will also expand into inverter production and assembly.
Domestic content requirements for the entire industry were codified in the bipartisan Inflation Reduction Act (IRA) in 2022, and President-elect Trump has continued to promote American production throughout this transition announcements. "Strengthening U.S. manufacturing and increasing vital domestic content is a bi-partisan issue that transcends national elections, and we are proud to be part of this national effort," stated Ardes Johnson, Chief Executive Officer of NeoVolta.
NeoVolta has received financial offers for the establishment of a headquarters, manufacturing facility, and regional offices from 23 state economic development agencies, offering a wide range of grants for capital expenditures, workforce development, cost of relocation, cost of expansion, and off take agreements with state utilities. The company is now reviewing each of these offers, making a determination on where to proceed for a best and final offer.
"Given the renewed focus on U.S. manufacturing and componentry, combined with the need for grid resilience and stability, NeoVolta is preparing to launch and expand U.S. manufacturing, while completing the development of our commercial grade products," added Johnson. "We are pleased to hear the President-elect's multiple pro-solar energy statements throughout the campaign and look forward to providing American made solar technology storage solutions that will strengthen our grid and efforts to achieve energy independence."
Under the Title 17 Clean Energy Financing Program, projects must be able to feasibly and financially support clean energy deployment infrastructure and investment to reduce greenhouse gas emissions and air pollution. The program has been financed since the Energy Policy Act of 2005 and has since been amended, most recently by the Infrastructure Investment and Jobs Act in 2021 and the Inflation Reduction Act in 2022.
NeoVolta is seeking to be deemed by DOE as an "Innovative Energy" project that will reduce greenhouse gas emissions through designing, creating, producing and selling advanced commercial Battery Energy Storage Solutions nationwide using lithium iron. DOE LPO programs are backed by a federal guarantee, with a favorable interest rate as low as .0375%. According to the DOE, these applications take around 12 months to complete. However, the project must be deemed feasible financially and conceptually at phase one in order to proceed.
"We are confident in our application to the DOE," added Johnson, "and believe that we are well positioned to provide technical feasibility, as well as other required due diligence."
CONTACT: Press@NeoVolta.com, Kate Countryman (317) 407-0782
NeoVolta
NeoVolta is a leading innovator in energy storage solutions dedicated to advancing the future of clean energy. Founded to provide reliable, sustainable, and high-performance energy storage systems, the company has quickly established itself as a critical player in the industry. NeoVolta’s flagship products are designed to meet the growing demand for efficient energy management in residential and commercial applications. With a focus on cutting-edge technology and strategic partnerships, NeoVolta is committed to driving progress in renewable energy and enhancing how the world stores and uses power.
Forward-Looking Statements
Some of the statements in this release are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995, which involve risks and uncertainties. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable as of the date made, expectations may prove to have been materially different from the results expressed or implied by such forward-looking statements. The Company has attempted to identify forward-looking statements by terminology including ‘believes,’ ‘estimates,’ ‘anticipates,’ ‘expects,’ ‘plans,’ ‘projects,’ ‘intends,’ ‘potential,’ ‘may,’ ‘could,’ ‘might,’ ‘will,’ ‘should,’ ‘approximately’ or other words that convey uncertainty of future events or outcomes to identify these forward-looking statements. These statements are only predictions and involve known and unknown risks, uncertainties, and other factors, including those discussed under Item 1A. “Risk Factors” in the Company’s most recently filed Form 10-K filed with the Securities and Exchange Commission (“SEC”) and updated from time to time in its Form 10-Q filings and in its other public filings with the SEC. Any forward-looking statements contained in this release speak only as of its date. The Company undertakes no obligation to update any forward-looking statements contained in this release to reflect events or circumstances occurring after its date or to reflect the occurrence of unanticipated events.
