Elevra Lithium Ltd has announced a binding Spodumene Concentrate Supply Agreement with LG Energy Solution. This strategic partnership is significant for Elevra as it aims to secure a stable customer base for its lithium production.
The agreement entails the supply of 240,000 dry metric tonnes of spodumene concentrate over a three-year period, starting from the first shipment expected later this year. The deal is structured to provide 30,000 dmt in 2026, followed by 60,000 dmt in both 2027 and 2028, and 90,000 dmt in 2029.
Elevra's Managing Director, Lucas Dow, emphasized the importance of this agreement in aligning with the company's commercial strategy. He stated, “This agreement with LG Energy Solution represents an important step in implementing the commercial strategy we outlined with our FY26 annual results.”
Elevra Lithium Ltd, classified under Mining & Quarrying of Nonmetallic Minerals (No Fuels), is a North American lithium producer with projects in Quebec, Canada, and a joint venture in Western Australia. The company is listed on both the Nasdaq and OTC exchanges under the tickers ELVR and SYAXF.
The filing notes that the agreement establishes a market-linked pricing for spodumene concentrate, adjusted for lithium content. This aligns with Elevra’s goal of developing a diversified sales portfolio with improved commercial terms.
In addition to the base quantity, Elevra may supply up to 90,000 dmt of optional volume, contingent on mutual agreement with LG Energy Solution. This strategic move is expected to enhance Elevra's competitive position in the lithium market, especially as demand for lithium continues to rise due to its critical role in battery production.
The filing does not specify what happens next, but it is clear that this agreement positions Elevra favorably in a rapidly evolving industry.