DOE finalized $9.8B in financing for Rivian, Plug Power, Sunwealth, and Ioneer – Rivian ($6.57B)

The Department of Energy’s Loan Programs Office (LPO) announced the completion of its agreement to provide electric-vehicle manufacturer Rivian a loan guarantee of up to $6.57 billion. That federal backing is aimed at enabling Rivian to secure lower-cost debt financing for a second EV factory in Georgia, a $5 billion project that was delayed in March in response to continual operating losses and softness in the EV market.

The loan will support construction of a nine million square foot facility to manufacture up to 400,000 mass-market electric sport utility vehicles (SUVs) and crossover vehicles annually, boosting the regional economy and helping build America’s clean transportation future. The site sits across Morgan and Walton county lines.

This project expects to support up to 2,000 full-time jobs through construction and 7,500 operations jobs through 2030, adding to the nearly 16 million jobs created since President Biden and Vice President Harris took office. LPO borrowers are required to develop and ultimately implement a comprehensive Community Benefits Plan (CBP). CBPs ensure borrowers meaningfully engage with communities and labor groups to create good-paying jobs and improve the well-being of residents and workers. As outlined in its CBP, Rivian intends to hire at least a quarter of its employees at the Stanton Springs facility from the local community. This investment supports the Biden-Harris Administration’s Justice40 Initiative, which sets a goal that 40% of the overall benefits of certain federal investment in climate, clean energy, and other areas flow to disadvantaged communities that are marginalized by underinvestment and overburdened by pollution.