‘LEDA, Westwin negotiate 2-month ‘forbearance agreement’ on overdue bills for pilot nickel plant

The Lawton Economic Development Authority recently granted Westwin Elements a two-month grace period in exchange for several financial “assurances.” The agreement “allows Westwin to continue operating its demonstration plant in Lawton while the company completes the financing necessary to satisfy its obligations, Westwin wrote in a press release issued Monday afternoon. Westwin “remains committed to … maintaining Lawton as an important part of the company’s continued growth.” “We are grateful to LEDA, the City of Lawton, and the community that has supported Westwin as we built and operated our demonstration plant here,” said KaLeigh Long, founder and chief executive officer of Westwin Elements. “This agreement allows us to fulfill our commitments, resolve the outstanding obligations, and establish a path for Westwin to continue operating in Lawton in the long term.” Westwin “looks forward to building on the nearly $18 million we have already invested here – in fixed assets such as the buildings on site, tools, machinery, and equipment – and continuing our partnership with the community,” Long said. The company “remains focused on continuing its operations in Oklahoma while executing its broader growth strategy and expanding domestic nickel refining capacity in the United States.” Westwin has approximately a dozen employees at the pilot plant, LEDA Executive Director Richard Rogalski said. The “forbearance agreement” between the two parties, approved last Friday, provides that LEDA will give Westwin two more months, through Nov. 30, to honor its commitments. •LEDA “will put on hold all remedies under the Note and the other redevelopment documents” through the month of November, Rogalski told Southwest Ledger. •On or before Nov. 30, Westwin must repay LEDA, the City of Lawton and the Comanche County Industrial Authority $2.7 million – with interest accruing from June 1 at the default rate of 15%. •Westwin provided an additional guaranty from the Dennis A. Muilenburg Revocable Trust for $2.7 million, with 15% interest accruing from June 1. That trust has “the wherewithal to pay us,” Rogalski said, adding that LEDA’s attorney “was satisfied with the financial statement that was provided.” “I remain confident in Westwin, its leadership, and the long-term importance of what the company is building in Lawton,” Muilenburg, former CEO of The Boeing Company and a Westwin Elements board member, said in the Westwin press release issued Monday. “KaLeigh and the team have approached this matter responsibly and have demonstrated a clear willingness to reach a reasonable resolution which allows the company’s meaningful investment in Lawton to advance its operational value.” •Westwin provided a check for $60,000 for June, July, August and September as an “occupancy payment” on the company’s premises, and the rate continues at $15,000 per month thereafter. “Their attorney is already holding that amount for October,” Rogalski said. CCIDA conveyed to LEDA 40 acres of land off Bishop Road near Southwest 112th Street for construction of the pilot plant. LEDA leased that property to Westwin on Dec. 29, 2023. The land on which the pilot plant was built is valued at $400,000. •Westwin provided a Depository Account Control Agreement (DACA) to secure its obligations, with control rights “springing” Nov. 30. “On that date we will control the account,” Rogalski explained. The account has a minimum $1,550,000 balance, to be maintained until maturity. “We received confirmation of required balance from Bank of Oklahoma dated Sept. 24,” Rogalski said. •After repayment of the note – $2.7 million plus interest – Westwin agreed to buy approximately 7.2 acres of land on which the pilot plant was built, along with adjacent stormwater basins, for $10,000 per acre. The precise amount of land will be established by a field survey. •Westwin provided a “stipulated judgment” for the $2.7 million, with 15% interest accruing from June 1, if they fail to pay what they owe by Nov. 30. “That ensures that everything is ours” if Westwin defaults, Rogalski said. •Westwin also provided certificates of insurance, for occupancy of the 40 acres, as required by the original project agreements. All of these provisions “greatly increase our chances of getting our money back,” Rogalski told the Ledger. “What we are after is recovery of the public’s investment.” How we got here On Dec. 12, 2023, LEDA lent Westwin $2.7 million in “development financing” to support construction of their pilot plant. The $2.7 million included $1 million from the City of Lawton and a $2 million loan to LEDA from the Comanche County Industrial Development Authority; however, $300,000 from the loan was held in reserve, according to Rogalski. The company has been in default on its redevelopment agreement since June 1. On Aug. 26, 2025, during a discussion involving Westwin, the City of Lawton, the CCIDA and LEDA, Westwin announced it would not proceed with development of a largescale commercial refinery in Lawton. That announcement was confirmed Sept. 11, 2025, when Westwin delivered written notice of its decision. That notice included “an agreed framework for resolving remaining Pilot Facility matters,” including the $2.7 million repayment to LEDA and $400,000 to the CCIDA for the acreage. A joint resolution embraced by LEDA on Dec. 18, 2025; by the CCIDA on Jan. 6, 2026; and by the Lawton City Council on Jan. 13, 2026, approved a Notice of Termination of the redevelopment agreement. That notice called for completion of the transactions listed in the Sept. 11, 2025, agreed framework “on or before May 31, 2026.” That deadline passed with Westwin’s requirements unfulfilled. LEDA confirmed to Westwin in writing on June 2 that the ground lease expired by its terms on June 1, “and that all unpaid amounts were immediately due.” The chief communications officer for Westwin Elements wrote in an email to the Ledger that they submitted an offer April 21 to buy the pilot nickel processing plant in Lawton and the land on which it sits – “an offer that would fully satisfy the company’s obligations related to the project.” Westwin reaffirmed its offer May 29 and again requested a meeting “to discuss resolution of the matter,” wrote Marissa Espinosa, Westwin’s chief public affairs officer. “The company remains prepared to move forward and believes direct engagement is the most productive path to resolving outstanding issues.” LEDA received an unsigned letter from Westwin, dated April 21, Rogalski confirmed. “However, it did not satisfy the conditions stated in the Jan. 13 letter.” It proposed instead “to restructure Westwin’s obligations over time and increase the debt to include the purchase of the Pilot Facility site.” Subsequently LEDA voted unanimously to “take appropriate action to recover possession” of the company’s pilot nickel processing plant in Lawton, “enforce and collect amounts due” to LEDA, “and exercise such other rights and remedies as may be available” to the Authority. “With the provisions in the forbearance agreement, I believe the City of Lawton will get its $1 million back and the CCIDA will get its $2 million back,” Rogalski predicted Monday.