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EnergyX signs $2B 10-year lithium offtake deal with Trafigura
The agreement calls for EnergyX to supply 100,000 metric tons of battery-grade lithium products over 10 years, with pricing based on current market levels of about $20,000 per metric ton.
Energy Exploration Technologies, known as EnergyX, announced it has signed a binding, definitive lithium offtake agreement with Trafigura covering the purchase of 100,000 metric tons of battery-grade lithium products over a 10-year term, according to Mining.com.
Mining.com reports the company estimated the deal represents more than $2 billion in revenue over its term, based on current market prices of roughly $20,000 per metric ton.
The offtake agreement will cover lithium products from EnergyX’s first two projects, with lithium carbonate from Black Giant in Chile and lithium hydroxide from Lonestar in Hooks, Texas, Mining.com said.
The Lonestar project was commissioned in March and is a demonstration plant capable of producing 250 metric tons per year of lithium carbonate equivalent, Mining.com added, describing it as the first DLE facility in Texas designed to process locally sourced brine.