Stardust Power (NASDAQ:SDST) said its first quarter marked a shift from project de-risking to financing and execution as the company continues to develop its planned lithium refinery in Muskogee, Oklahoma.
Founder and CEO Roshan Pujari told investors that the company has advanced several elements needed to support financing and construction, including permitting, engineering, feedstock discussions and site infrastructure. He said the central issue in the U.S. lithium supply chain is not resource availability, but refining capacity, and that Stardust Power’s Muskogee refinery is intended to address that gap.
Permitting and Engineering Milestones
Pujari said Stardust Power received its air quality construction permit, which he described as the final major permit required for construction and commissioning to begin once financing is secured. He noted that the permit was a minor source permit and said the refinery design does not require smokestacks.
The company also completed its FEL 3 engineering study, which Pujari said defines the technical scope, cost framework and execution plan for the project. He added that an independent third-party review supported the design approach and project readiness.
From a site and infrastructure standpoint, Pujari said Stardust Power has secured key elements needed to support construction and operations, including utility support at the Muskogee location.
Financing Remains the Central Focus
Management emphasized that project-level financing is the company’s primary near-term priority. Pujari said Stardust Power expects most of the capital required to construct the refinery to be raised at the project level rather than through the public company, a structure intended to align capital with the asset and limit dilution for shareholders.
During the quarter, the company secured access to up to $15 million in equity financing facilities, including a $10 million synthetic ATM facility with B. Riley Principal Capital II, LLC and a separate ATM program with B. Riley Securities, Inc. for up to $5 million. CFO Uday Devasper said the company drew approximately $1 million under the synthetic ATM facility during and after the quarter.
Stardust Power also announced a letter of intent with an institutional investor for up to $150 million in project-level financing. Pujari described that as an initial step in assembling the refinery’s capital stack.
The company is pursuing financing through several channels, including strategic investors, debt providers and potential government-supported programs. Pujari said the use of proven and established technology could make the project eligible for a higher debt component in project finance, ranging from 70% to 80% of total funding needs.
Feedstock and Policy Engagement
On the commercial side, Stardust Power said it continued building its feedstock supply pipeline. Pujari highlighted an LOI to secure up to 15,000 metric tons per year of lithium chloride feedstock from a U.S.-based brine project in California. He said the agreement supports the company’s “hub-and-spoke” sourcing model, which is intended to aggregate supply and reduce reliance on any single asset.
Pujari said the company has multiple feedstock LOIs in place and continues discussions to diversify its supply base. He said those agreements create a pathway to supply phase one requirements and beyond.
The company also increased its engagement with government and industry groups. Pujari said Stardust Power engaged Founders Group Policy to strengthen its presence in Washington, D.C., and was invited to the White House to discuss the project’s role in national security. Stardust Power also joined the Cornerstone Consortium and the Lithium Regional Innovation Cluster, which Pujari said expand the company’s connections across defense, government, technology and commercialization initiatives.
Quarterly Financial Results
Devasper said Stardust Power remains pre-revenue as it continues development of the Muskogee refinery. For the quarter ended March 31, 2026, the company reported a net loss of $5.2 million, compared with a net loss of $3.8 million in the same period a year earlier.
The larger reported loss was primarily driven by changes in the fair value of warrant liabilities and expenses tied to the company’s fourth-quarter 2025 debt financing, partially offset by lower general and administrative expenses, Devasper said.
- Net cash used in operating activities: $2.1 million, compared with $2.9 million in the prior-year period.
- Net cash used in investing activities: $0.2 million, compared with $1 million a year earlier.
- Net cash used in financing activities: $4,000, compared with $4.5 million provided in the prior-year period.
Devasper said operating cash usage improved despite the higher net loss, citing cost controls, working capital timing and non-cash or non-operating items. He also said the reduced investing cash use reflected a more phased deployment of capital as the project moved through engineering validation, financing preparation and feedstock development.
The CFO noted that the company’s ability to meet working capital and capital expenditure needs over the next 12 months remains dependent on raising additional capital through equity, debt or other financing sources. He said Stardust Power is focused on liquidity management, capital efficiency and advancing toward larger-scale project financing.
Next Steps
Pujari said Stardust Power’s near-term priorities include advancing project-level financing, progressing EPC planning and detailed engineering, continuing feedstock and potential offtake discussions, and preparing the Muskogee site for construction.
He said the next key catalyst is financing the refinery, adding that the company believes investment in further de-risking and construction preparation is the best way to drive long-term shareholder value. Pujari also referenced the project’s potential scale, saying the company is targeting production of up to 50,000 metric tons per year and cited current prices of around $28,500.
The call concluded without any analyst or investor questions.
About Stardust Power (NASDAQ:SDST)
Stardust Power Inc is a vertically-integrated lithium refinery that engages in producing battery-grade lithium. The company was founded in 2022 and is based in Greenwich, Connecticut.
