Company Advances Toward Final Investment Decision
Stardust Power Inc., the company planning a lithium processing plant in Muskogee, said in its third-quarter financial report that it is close to a final investment decision and the start of construction.
The financial report showed the firm remains debt-free, has $1.6 million in cash on hand, and improved its net loss to $4.5 million for the quarter, compared to more than $10 million a year ago.
“This has been a quarter of strong execution and tangible progress,” said Roshan Pujari, Founder and CEO of Stardust Power. “With our FEL-3 engineering complete, third-party validation approaching completion, with initial long-term supply secured and additional agreements in progress, we’re advancing rapidly toward final investment decision and the start of construction in Muskogee. Each milestone brings us closer to establishing a major U.S. source of battery-grade lithium.”
Operational Highlights for the Third Quarter of 2025
Engineering and Project Design
The FEL-3 engineering report was completed for the Muskogee, Oklahoma lithium refinery, detailing a Phase 1 capacity of 25,000 metric tons per annum (mtpa), expandable to 50,000 mtpa.
The report estimates capital expenditures (CapEx) of approximately $500 million, which includes owner’s cost, contingency, and escalation — about $200 million below the prior estimate.
It outlines a 24-month construction timeline and a 90% probability of cost achievement, demonstrating a high level of project readiness and financial precision.
Third-Party Review Underway
An independent third-party engineering review is now underway. It will evaluate the design assumptions underlying the Muskogee lithium refinery, determine the achievability of the project’s objectives, and identify risks in the company’s project execution plans.
Listing and Supply Agreements
Stardust Power regained full listing compliance, with its shares continuing to trade under the ticker “SDST” on the Nasdaq Capital Market.
Subsequent to quarter end, the company executed two separate supply agreements with Prairie Lithium and Mandrake Lithium to secure 13,500 metric tons of lithium carbonate equivalent (LCE) as lithium chloride feedstock for the Muskogee refinery.
Third Quarter Financial Highlights
Debt-Free Position
The company remains debt-free, with no long-term corporate debt outstanding as of September 30, 2025.
Cash Position
As of September 30, 2025, the company had cash and cash equivalents of approximately $1.6 million.
Net Loss Improvement
The company recorded a net loss of $4.5 million for the third quarter of 2025, compared to $10.1 million for the prior year quarter ended September 30, 2024.
Net loss per share improved to $(0.53) for the third quarter of 2025, compared to $(2.23) for the prior year quarter.
Cash Flow Details
Net cash used in operating activities decreased to $6.5 million for the nine months ended September 30, 2025, compared to $8.5 million for the prior year period. The reduction was primarily driven by certain expenses related to the close of the business combination incurred in the prior year, offset partially by the company’s continued investment in operations and hiring of key talent.
Net cash used in investing activities was $3.0 million for the nine months ended September 30, 2025, compared to $1.3 million for the prior year period. The increase was driven by initial capital investments made in the anticipated building of the refinery.
Net cash provided by financing activities was $10.2 million for the nine months ended September 30, 2025, compared to $10.1 million for the prior year period.
During the current period, cash provided by financing activities was driven primarily by $12.0 million in net proceeds from public offerings and warrant inducements, and $1.6 million from common stock issuances, partially offset by the repayment of $3.8 million of short-term loans.
The prior year’s financing cash flow resulted from cash received from the closing of the business combination, including proceeds from PIPE subscription agreements and convertible notes, net of transaction costs paid.
Momentum Toward Construction in Muskogee
Stardust Power said it continues to make measurable progress toward a final investment decision that would launch construction of the Muskogee lithium refinery. The project is expected to become one of the largest U.S. sources of battery-grade lithium, positioning Oklahoma as a key player in the nation’s clean energy supply chain.