Ann: Binding Lithium Offtake Term Sheet Signed with LG, page-27

Stage 1 of the project is to produce 15,000tpa LIOH and Stage 2 is 25,000tpa - making it a combined 40,000tpa project. Therefore, this deal with LGES represents 75% of Stage 1 and 25% of the combined Stage 1 & 2. So either way you look at it, this is a massive deal for VUL and with the world’s leading EV battery cell manufacturer thank you very much!

This will really put a rocket under VW, Stellantis and other OEMs to get on their bike to do a deal with VUL if they have any hope of meeting their carbon neutrality targets. The VW/NV partnership proclaim they will produce the world’s most sustainable batteries - well the only way they can do that is by sourcing LIOH from Vulcan - not importing spodumene from Western Australia.

I suspect we won’t have to wait to long for more offtake deals as this game of poker being played by OEMs of holding out until now and now suddenly the race is on to secure their raw material supply chain!