Oklahoma lithium refiner Stardust Power, Inc. just obtained up to $150 million in more financial backing for its Muskogee refining plant.
The company said it entered into a Letter of Intent with a single institutional investor to support project level financing at the planned lithium refinery. Stardust did not identify the institutional investor but explained that under terms of the LOI it gives flexibility across equity, debt and hybrid financing structures.
“The investment is expected to be made as we continue to secure funding from other investors, and it will help us develop our long-term capital plans. Structuring the investment at the asset level is expected to reduce dilution for public shareholders while supporting the establishment of a transparent, market-driven valuation for the refinery,” stated Stardust in making the announcement.
“The LOI represents a meaningful step in advancing the project’s capital stack and provides increased visibility into financing for the construction of the Company’s lithium refinery. It also reflects growing institutional interest in American lithium refining infrastructure and reinforces the project’s positioning as a viable, financeable asset within the evolving domestic battery materials supply chain.”
Roshan Pujari, Founder and Chief Executive Officer of Stardust Power, commented: “This LOI is an important step as we gear up to build this critical piece of national infrastructure. Establishing the capital stack at the project level is a key milestone, and we believe it reflects growing recognition from institutional investors that our refinery is both viable and strategically positioned. As we progress discussions with additional partners, our focus remains on structuring a disciplined and competitive financing package aligned with long-term value creation.”
Stardust Power moves forward with construction
Stardust Power is currently advancing its lithium refinery project in Muskogee, Oklahoma, designed to produce up to 50,000 metric tons per annum of battery-grade lithium carbonate at full capacity, to be developed in two phases of approximately 25,000 metric tons per annum each. The Company has completed a FEL-3 engineering study and secured key permits, including the air permit from the Oklahoma Department of Environmental Quality, enabling construction and commissioning to start upon financing. Recent milestones include third-party engineering validation, additional feedstock supply agreements, and continued progress on project-level financing discussions.
The agreement is non-binding and outlines a framework for a potential investment of up to $150 million at the project level, including the ability to support the financing through syndication and direct capital participation. The parties have also agreed to proceed through customary due diligence and negotiation of definitive agreements.
About Stardust Power
Stardust Power is a developer of battery-grade lithium carbonate designed to bolster America’s energy security through resilient supply chains. The Company plans to build a strategically located lithium refinery in Muskogee, Oklahoma, with the capacity to produce up to 50,000 metric tons of battery-grade lithium carbonate annually. Committed to sustainability at every stage, Stardust Power trades on Nasdaq under the ticker “SDST.”