Liontown Kathleen Valley Lithium Mine. Source, fair use, low resolution image to identify the subject.

Is Biden’s IRA Money Being Spent in Other Countries?

Essay by Eric Worrall

The Australian Government is under pressure to subsidise local miners as well as battery industries, after a US miner backed by IRA cash launched an Aussie Lithium Mine takeover bid.

Mining tech boss says beware lithium refinery focus

Brad Thompson Reporter
Apr 3, 2023 – 11.05am

Mining technology company Imdex warned it will be a mistake if the Albanese government focuses too heavily on downstream processing of critical minerals in the face of intense lobbying by big lithium players.

The Imdex warning came as Prime Minister Anthony Albanese conceded Australia needed to get moving on its response to the Biden administration’s Inflation Reduction Act (IRA) to avoid a “flight of investment”.

Liontown Resources chairman Tim Goyder has backed the MinRes calls as Liontown resists a $5.5 billion takeover offer from Albemarle, which is set to be one of the big winners from President Joe Biden’s IRA bill and the Green Deal Industrial Plan in Europe.

In its submission in response to the government’s critical minerals strategy discussion paper, Imdex argues the focus should be spread across the entire value chain of critical minerals development.

Read more:

I wonder if Aussie Prime Minister Anthony Albanese will cave in to pressure, and start a subsidy war against the Biden Administration. How far will Biden and Albanese go with expenditures of taxpayer’s cash, or maxing the national credit card, to defend their competing visions of global domination of lithium battery production?

As for the USA, it is bad enough that Biden is running up more public debt financing an economic transition so economically toxic that private money won’t touch it without government support. Having billions of dollars of that borrowed money leak away, to be spent in other countries, surely just adds insult to injury.

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Bryan A
April 3, 2023 10:07 am

When I saw the IRA acronym I was concerned it stood for the Nefarious Irish Republican Army. But, ALAS, it appears to stand for something far worse…Inflation Reenforcement Act

Chris Foskett
Reply to  Bryan A
April 3, 2023 10:30 am

I had the very thought! With Biden’s professed irishness there probably was IRA money in the past!

Reply to  Bryan A
April 3, 2023 11:59 am

Should that not be “Inflation Reinforcement Act”?

Reply to  Disputin
April 3, 2023 12:00 pm

Inflation Reacceleration Act

Bryan A
Reply to  Disputin
April 3, 2023 1:19 pm

Never trust Merriam-Webster online thesaurus spelling. Funny thing, my Kindle liked it

Reply to  Bryan A
April 3, 2023 7:59 pm

The article is incorrect in saying IRA money is ‘spent overseas’
Its tax credits and the reverse is happening , the overseas companies are coming to US to benefit from the credits- who have to have a taxable income to be credited

Among them are large European companies. BMW announced a nearly $2bn investment in South Carolina late last year, for example, as it expands its existing plant and builds an additional battery plant nearby. Freyr announced a $1.7bn initial capital investment in Georgia late last year. Enel also announced it would build a solar photovoltaic cell and panel factory in the US.”

Since the IRA was passed into law last August, at least 20 new or expanded clean energy manufacturing plants have been announced in the US, according to the FT.

So essentially the claim in the story is economic nonsense as a profitable mine in Australia cant get IRS tax credits can it – offshore is specifically excluded

April 3, 2023 10:19 am

Maybe that’s a big part of the cost revision that is so common with Dems pet “savings” legislation.

story tip

Inflation Reduction Act to cost US $1.2 trillion, Goldman Sachs says | Fox Business

Reply to  ResourceGuy
April 3, 2023 11:23 am

Now, how about we post the names of the ‘brilliant’ economists who claimed that this would save money?

Reply to  iflyjetzzz
April 3, 2023 11:43 am
Reply to  ResourceGuy
April 3, 2023 7:52 pm

Thats because it was a ‘name game’ to allow it to bypass Senate filibuster as its a annual Budget bill …theres various rules about whats in a’ budget’

April 3, 2023 10:44 am

Albemarle is the only operating lithium mine in the US, they pump and reduce brine. Neighboring Ioneer’s Rhyolite Ridge (where I worked on a few projects) is beginning construction, and has secured a $700M loan.

April 3, 2023 10:46 am

Not to worry with Jenn and Janet in charge.

story tip

Oil price forecasts rise on Wall Street as OPEC cuts signal ‘geopolitical posturing’ (

On the political side, the move may be related to recent comments from United States Energy Secretary Jennifer Granholm, indicating it would be “difficult” to refill the U.S. strategic petroleum reserve this year. Those statements contradict prior indications from the Biden Administration that it wants to refill the reserve when WTI was consistently at around $70.

Reply to  ResourceGuy
April 3, 2023 11:54 am

The Biden administration will NEVER refill any oil removed from the SPR. That’s a feature of their plan, not a defect. Any utterances from the administration about refilling the SPR is simply gaslighting.

David Wojick
April 3, 2023 11:30 am

There is almost no taxpayer cash in the IRA. It is almost all tax credits, which translate into loss of tax revenue. These credits can spur private investment, which is their purpose.

Reply to  David Wojick
April 3, 2023 11:44 am

And who has to make up that loss of tax revenue???

Reply to  barryjo
April 3, 2023 12:02 pm


Reply to  Disputin
April 3, 2023 8:01 pm

Minimum tax payments from the largest companies. Taking back the Trump tax reductions

More Soylent Green!
Reply to  David Wojick
April 3, 2023 12:19 pm

Funny, when an oil company gets a tax break that is available to all other companies, that’s called a give-away.

Why is it private companies won’t invest in these areas without government incentives? Why is it people won’t buy without incentives?

I wish a overview of Austrian economics (we just called it economics when I was in college) was a requirement for higher education.

Reply to  More Soylent Green!
April 3, 2023 8:09 pm

have you even seen the tax breaks for most real estate developments ?

Then theres the municipal bonds which are tax free, an absurd situation

Reply to  David Wojick
April 3, 2023 2:10 pm

Not true. Read it yourself:“search”%3A%5B”%5C”Inflation+Reduction%5C””%5D%7D&s=10&r=1

$1.2 Trillion of outlays for an anticipated (but never realized) $3 Trillion in “investments”.

Last edited 1 month ago by JamesB_684
Reply to  JamesB_684
April 3, 2023 7:47 pm

Hey, it’s “Wojerk” so don’t get too excited over the ignoring of facts.

April 3, 2023 11:44 am

There is nothing right about this whole sorry story. Number one if renewables are cheaper they should stand on their own. They do not deserve or need government money. Number two I thought the IRA was intended to promote business IN the US not build up US company profits in foreign countries. Number three if the goal of the Australian government is to extract lithium what the hell difference does it make which company does it? This whole stinking mess is just so damn stupid.

Reply to  Bob
April 4, 2023 12:36 pm

Income gained offshore cant be used for IRA tax credits in US. The EU, Japan, Korea are ropable because of that as they manufacture offshore and sell in US.
if they want the tax credits they have to move more manufacturing to US , which is how it should be.
Lithium mining has to be where the Li is , but the battery manufacturing plant , thats a different story, and would have to be in US to be eligible

April 3, 2023 11:55 am

Why not just go back a couple of steps, and recognise that all of this lithium business is predicated on the false theory about Global Warming and mankind’s ability to influence that which cannot be significantly influenced? Surely even those who believe in the supernatural powers of various gods must agree that man is puny in comparison with Nature?

April 3, 2023 2:08 pm
Peta of Newark
April 3, 2023 5:19 pm

Quote:”During his period in office, the basic rate of income tax was lowered to 25% while the top rate came down from 60% to 40%. Lawson also turned a budget deficit of £10.5bn when he took office to a surplus of £4.1bn when he resigned in 1989.


April 4, 2023 7:30 am

Anything that does not work and will never work qualifies for funding.

story tip

Biden releases plan to revitalize coal communities with clean energy (

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