ABTC Awarded Landmark EPA Contract to Recycle Batteries from the Moss Landing Fire
The largest lithium-ion battery cleanup in U.S. history signals a pivotal moment for grid-scale energy storage safety and the critical role of advanced recycling infrastructure.
American Battery Technology Company (ABTC) has been selected by the U.S. Environmental Protection Agency to carry out the largest lithium-ion battery cleanup effort in United States history. The contract covers the safe removal, transport, and recycling of roughly 100,000 damaged battery modules that were compromised during the Moss Landing energy storage fire in California.
The scale of the project reflects a pivotal moment for the country's battery supply chain and environmental safety practices. As grid-scale storage becomes essential for a renewable energy economy, so does the need for advanced recycling systems that can handle damaged or hazardous batteries without risking further harm.
Why This Cleanup Is Needed
On January 16, 2025, a significant fire broke out at Vistra's 300-megawatt battery energy storage facility in Moss Landing. The facility housed next-generation grid batteries designed to support California's clean energy goals. The blaze burned for several days. A flare-up in February required additional emergency response. Local authorities issued evacuation orders due to concerns about toxic smoke from burning lithium-ion cells.
The Moss Landing facility during the January 2025 fire that compromised approximately 100,000 battery modules
Investigators later confirmed that the fire spread through about 55 percent of the building's battery modules. The system used nickel manganese cobalt chemistry. This chemistry is widely used in electric vehicles but is more prone to thermal runaway when damaged. The severity of the incident placed intense scrutiny on the safety designs of earlier-generation energy storage facilities.
The consequences are still playing out. Local residents and businesses have filed lawsuits against Vistra and PG&E, which operates a neighboring site. The suits cite health issues, extended business disruptions, and claims of negligence in site design and risk management. Regulators and lawmakers are also responding. Proposals are emerging to require larger setbacks between energy storage sites and communities, along with stricter fire prevention standards.
Why ABTC Was Selected
Before receiving the cleanup contract, ABTC completed a comprehensive audit and secured formal authorization under the Comprehensive Environmental Response, Compensation, and Liability Act. Its Nevada recycling facility is now one of the few in the Western United States approved to process hazardous battery waste at this scale.
For detailed information about the EPA's oversight and cleanup process, see the official EPA news release on the Moss Landing battery cleanup.
ABTC's proprietary recycling technologies will break down the damaged modules and recover lithium, cobalt, nickel, and other critical minerals. At current commodity prices, the recovered materials from this cleanup are valued at about $30 million. Recovering these materials prevents contamination, minimizes the volume of material requiring hazardous disposal, and strengthens the domestic mineral supply chain.
The EPA will oversee transport logistics, as the damaged modules range from partially intact to severely compromised. Safe handling is essential, particularly for modules that may still pose fire or chemical hazards.
What This Means for the Industry
The Moss Landing incident revealed how quickly an energy storage system can become a complex and hazardous waste challenge when something goes wrong. It also highlighted gaps in national capacity to responsibly process large quantities of damaged lithium-ion batteries.
The partnership between ABTC and the EPA signals the emergence of industrial-scale recycling as an essential component of national energy infrastructure. It sets a precedent for how the United States will respond to future failures at grid storage sites, electric vehicle depots, or large fleet facilities.
As demand for storage grows, the country will need more facilities capable of diagnosing, stabilizing, and recycling damaged battery systems. The Moss Landing cleanup is a powerful reminder that responsible end-of-life management is as important as innovation in battery production.
Navigate the Future of Energy Storage Safety
As grid-scale battery deployments accelerate, the need for robust safety protocols and recycling infrastructure becomes critical. Let's discuss how to build resilient battery lifecycle capabilities that prepare your organization for both growth and contingencies.
