EVelution Energy has announced several recent development milestones for its proposed cobalt processing facility in Yuma County, including the start of construction on a solar facility, confirmation of groundwater resources, proposed financing support, and Arizona’s nomination of the project site for Opportunity Zone 2.0 rural designation.
The company has stated that it is developing what would be the first commercial-scale, solar-powered cobalt metal and cobalt sulfate processing facility in the United States. According to EVelution Energy, the proposed facility is intended to support domestic processing capacity for industries including aerospace, defense, electric vehicle batteries, and advanced manufacturing.
In July, EVelution Energy announced the start of construction on a 28-megawatt solar facility in Yuma County that is expected to power the planned cobalt processing operation. The company also stated that the full project is expected to process cobalt hydroxide feedstock and produce cobalt sulfate and cobalt metal once operational.
The company has also reported progress on project financing. In August, EVelution Energy announced that the Export-Import Bank of the United States re-issued a non-binding Letter of Interest increasing proposed financing support from up to $200 million to up to $275 million. EVelution Energy has also announced a non-binding Letter of Interest from Finnvera, Finland’s official export credit agency, and a long-term offtake agreement with Mitsui & Co., Ltd.
Because the project is still in development, several of the announced milestones remain subject to additional steps, including completion of a bankable feasibility study, final financing, permitting, construction, and commercial operation.
Water and Environmental Questions
As the project advances, water use and environmental safeguards remain important public-interest topics.
EVelution Energy announced in July that groundwater resources beneath the project site are sufficient to support the planned operating requirements of the proposed facility. The company has stated that the facility is being designed to recycle approximately 70 percent of process water, operate with no on-site process-water discharge, avoid on-site tailings storage or disposal, and send process residues to licensed off-site facilities.
The company has also stated that net freshwater consumption is expected to average approximately 34 acre-feet per month, or approximately 408 acre-feet annually.
At the same time, public questions have been raised about water use, groundwater impacts, and project oversight. Arizona Luminaria reported that concerns were raised during a Yuma County Board of Supervisors meeting regarding differing water-use figures that have circulated publicly. A separate public information website created by Yuma County residents is also tracking project documents, meeting information, and community questions related to the proposed facility.
A public information meeting regarding the proposed EVelution Energy cobalt sulfate processing facility has been announced for November 5, 2026, in Wellton.
Why It Matters
The EVelution Energy project is part of a broader national conversation about domestic critical minerals processing, supply-chain resilience, clean energy infrastructure, and rural industrial investment.
For Yuma County, the project also highlights the importance of balancing economic development opportunities with public transparency, water-resource questions, and environmental review. As additional information becomes available, source materials from the company, public agencies, and community forums will be important for residents, businesses, and regional partners following the project.
Source Materials
Readers can review project updates and public information through the following sources:
- EVelution Energy press releases and company updates
- EVelution Energy’s July 2026 groundwater announcement
- EVelution Energy’s July 2026 solar construction announcement
- EVelution Energy’s August 2026 EXIM financing announcement
Image from EVelution Energy