Can This Partnership Power America's Battery Supply?

LibertyStream and Wellspring test a state-backed lithium pilot, aiming to fast-track supply and win automaker trust

27 Aug 2025

A new experiment in the U.S. lithium industry could help rewrite how the country processes a metal at the heart of the electric vehicle boom. LibertyStream Infrastructure Partners and Wellspring Hydro have built a pilot refinery in Texas with plans to shift operations to North Dakota later this year, backed by a $700,000 state grant.

The plant's output is modest, at just ten tonnes of lithium carbonate a year. But the real goal is not volume. By producing battery-grade samples, the facility gives automakers and battery firms something they urgently need: proof that new domestic suppliers can deliver quality material. That, in turn, could unlock future supply deals and investment before large refineries are built.

For LibertyStream, state support is the missing link between lab-scale innovation and commercial output. "Smaller projects can prove technologies faster and build buyer confidence," said one executive. Wellspring Hydro, known for its work in brine extraction and water treatment, sees the pilot as a chance to show its technology slots neatly into refining.

Industry watchers say the move reflects a broader national shift. The Inflation Reduction Act has created powerful incentives for local supply chains, and states are increasingly stepping in to support early projects. Pilot plants like this one, though tiny, can shorten the path from discovery to customer qualification and give the U.S. an edge against global competitors.

The challenges are real: small output may not meet all testing needs, and permitting remains a hurdle. Still, the project signals a pragmatic approach to supply security at a time when U.S. reliance on foreign refining carries growing risk.

If the model works, the LibertyStream-Wellspring effort could inspire a wave of similar ventures, showing that speed and flexibility matter as much as scale. For a nation eager to stay in the battery race, even a small pilot could mark a big step forward.