Sylvatex Validates Precursor-Free Process That Halves CapEx and Secures U.S. Supply Chains
DOE-supported company confirms a scalable, cost-leading approach for lithium-iron-phosphate (LFP) cathode material that unlocks domestic economic advantage and eliminates dependence on China
ALAMEDA, Calif., Nov. 18, 2025 (GLOBE NEWSWIRE) -- Sylvatex (SVX) today announced validated results for its novel precursor-free process for manufacturing lithium-iron-phosphate (LFP) cathode material, confirming over 50% lower capital expenditure (CapEx) cost and 35% lower total cost compared to conventional methods.
The Company’s breakthrough enables domestic, low-cost production of cathode active material (CAM), without relying on Chinese precursors or infrastructure, that could transform domestic manufacturing of battery materials across energy storage, AI data centers, EV, and defense sectors.
Backed by the U.S. Department of Energy’s ARPA-E and supported by Lawrence Berkeley National Laboratory’s Molecular Foundry, the Sylvatex process advances a longstanding U.S. priority to strengthen domestic and sustainable supply chains for critical energy materials and directly support U.S. energy and national security priorities.
Strategic Priorities in Energy and National Security the AI Era Demands
As EVs, AI data centers, and defense systems drive record battery demand, the U.S. is using incentives and tariffs as policy levers to support its priority of expanding domestic manufacturing and reducing reliance on foreign entities of concern (FEOCs), such as China, for critical battery materials. The Sylvatex precursor-free LFP process offers a cost-leading, FEOC-compliant pathway that helps manufacturers qualify for federal incentives, deploy assets faster, and eliminate dependence on foreign-controlled supply chains currently responsible for over 95% of global LFP precursor and CAM production.
Recent U.S.–Japan/South Korea trade negotiations, committing >$500 Billion and $350 Billion respectively to strengthen the U.S. industrial base and supply chain security, underscore the accelerating race to build domestic CAM capacity in North America. Sylvatex’s validated, precursor-free platform provides a ready-to-scale, lower-cost solution to meet that demand head-on.
Over the past decade, U.S. policymakers have identified domestic battery manufacturing and critical mineral independence as essential pillars of national competitiveness and energy resilience. The Departments of Energy, Defense, and Commerce, along with state agencies, have prioritized the creation of FEOC-compliant domestic supply chains for clean energy, transportation, and defense technologies.
“High-performance, and economically advantaged production of cathode active material is essential to U.S. energy and national security,” said Virginia Irwin Klausmeier, CEO of Sylvatex. “Our precursor-free process was designed to make LFP and other cathode active material outside of China in the most economical, scalable, and sustainable way possible.”
Independent Validation of Technical and Economic Advantages
To ensure transparency and rigor, Sylvatex commissioned Strategic Analysis, Inc. (SAI) to conduct an independent Techno-Economic Analysis (TEA) and engaged the Isomer Project Group (Isomer Group) for engineering design and process modeling. The results confirm that the Sylvatex precursor-free LFP process delivers:
- >50% reduction in capital expenditure (CapEx)
- ~35% lower total cost including materials and energy
- ~25% lower energy consumption per ton of LFP
- Zero water and sulfate waste
Even before tariffs and incentives, Sylvatex’s LFP high performance material achieves cost competitiveness with Chinese suppliers, while eliminating the long lead times and geopolitical risks associated with overseas shipments, as highlighted by recent export controls from China on premium battery materials and equipment.
U.S. First — Global Opportunity
While Sylvatex is prioritizing U.S. and North American production to leverage strong domestic incentives and FEOC compliance, the precursor-free process is globally scalable. The use of off-the-shelf industrial equipment and more widely available and domestic feedstocks enables rapid deployment in markets seeking secure and sustainable local supply chains.
“Leveraging standard industrial equipment makes the Sylvatex process economically disruptive,” said RL Simpson, Managing Partner of Isomer Project Group. “It’s designed to scale quickly, de-risk manufacturing, and establish cost leadership anywhere in the world.”
About Sylvatex
Sylvatex (SVX) is a chemical company pioneering precursor-free, domestically sourced manufacturing for lithium-iron-phosphate (LFP) and related chemistries. The company’s process reduces cost, energy use, and waste while enabling fully domestic, FEOC-compliant supply chains aligned with U.S. administrations’ priority and global strategies to strengthen energy and national security. Sylvatex is headquartered in Alameda, CA.
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