Opportunity Information: Apply for DE FOA 0002854
The funding opportunity titled "BIL - Front-End Engineering and Design Studies for Production of Critical Minerals and Materials from Coal-Based Resources" (Funding Opportunity Number DE-FOA-0002854) is a discretionary Department of Energy program run through the National Energy Technology Laboratory under the Office of Fossil Energy and Carbon Management. It is supported entirely by Infrastructure Investment and Jobs Act funding (the Bipartisan Infrastructure Law), which set aside a total of $32 million for this particular effort. The main goal is to pay for front-end engineering and design (FEED) studies that move rare earth element (REE) and critical mineral recovery from coal-related feedstocks closer to real-world deployment by funding the detailed engineering and planning work that typically precedes construction and operation of a facility.
At its core, the announcement focuses on coal-based resources as nontraditional sources of critical minerals and materials. That includes coal itself as well as coal by-products, which can cover materials associated with coal mining and coal use. DOE is looking for projects that demonstrate credible pathways to extract, separate, and refine these materials into high-purity outputs, specifically targeting individual rare earth metals or binary rare earth metal products, and/or other critical minerals and materials. In other words, this is not just about proving that the elements exist in the feedstock; it is about showing an end-to-end process concept that can reasonably produce refined, saleable, high-purity products and documenting that concept at a level of engineering detail suitable for investment and execution decisions.
The FOA is structured around two intended facility sizes: intermediate-scale and demonstration-scale rare earth element facilities. By funding FEED studies at these scales, DOE is aiming to accelerate the transition from earlier laboratory or pilot work into designs that can be built and operated to validate performance at larger throughputs and in more realistic conditions. Intermediate-scale efforts typically help de-risk scale-up by translating bench or pilot results into engineered systems with defined equipment, material balances, control strategies, and utility requirements, while demonstration-scale efforts usually represent a larger, more integrated facility concept that is closer to first-of-a-kind commercial readiness. The announcement signals that DOE wants designs that address the full processing chain, not isolated steps, and that make it possible to evaluate technical feasibility, integration challenges, and expected product quality.
Funding is provided through cooperative agreements, which means recipients should expect substantial federal involvement during the project rather than a hands-off grant structure. The award ceiling is listed as $8,000,000, and DOE anticipated making about six awards, aligning with the overall $32 million appropriation described in the summary (a typical indicator that projects may be funded at varying levels up to the ceiling). The opportunity is listed as "unrestricted" in terms of eligible applicants, meaning it is open broadly to different types of entities as long as they meet any additional eligibility conditions stated in the full announcement. This open eligibility is designed to allow participation from private industry, universities, nonprofits, state or local entities, and others that can assemble the technical, engineering, and management capability needed to deliver a credible FEED package.
From a practical standpoint, a FEED study in this context is expected to go beyond basic concept sketches. It generally implies developing a defined process design, equipment selection and sizing, preliminary plant layout, capital and operating cost estimates, risk and hazard considerations, and project execution planning, all tied to specific performance targets for extracting and refining rare earths and other critical materials. DOE interest in "high purity" individual or binary rare earth metals suggests an emphasis on downstream separations and refining steps, where many projects struggle due to complexity, reagent use, waste streams, and purity specifications. The program therefore aims to strengthen the engineering maturity of these approaches so they can be judged on scalability, integration, economics, and the likelihood of meeting product specifications.
The announcement was created on July 13, 2023, and the original application deadline was September 11, 2023 at 5:00 p.m. Eastern Time. Overall, the opportunity is a Bipartisan Infrastructure Law-funded push to turn coal and coal by-products into a more viable domestic supply pathway for rare earth elements and other critical minerals by paying for the engineering and design work needed to advance intermediate- and demonstration-scale facility concepts toward buildable projects.Apply for DE FOA 0002854
- The Department of Energy, National Energy Technology Laboratory in the other (see text field entitled explanation of other category of funding activity for clarification) sector is offering a public funding opportunity titled "BIL - Front-End Engineering and Design Studies for Production of Critical Minerals and Materials from Coal-Based Resources" and is now available to receive applicants.
- Interested and eligible applicants and submit their applications by referencing the CFDA number(s): 81.089.
- This funding opportunity was created on Jul 13, 2023.
- Applicants must submit their applications by Sep 11, 2023 500 p.m. Eastern Time. (Agency may still review applications by suitable applicants for the remaining/unused allocated funding in 2026.)
- Each selected applicant is eligible to receive up to $8,000,000.00 in funding.
- The number of recipients for this funding is limited to 6 candidate(s).
- Eligible applicants include: Unrestricted (i.e., open to any type of entity above), subject to any clarification in text field entitled Additional Information on Eligibility.
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