- Element 25 (E25) signs binding agreement to supply global car manufacturer Stellantis with high purity manganese sulphate monohydrate (HPMSM)
- The agreement will see E25 provide Stellantis with up to 10,000 tonnes per annum of HPMSM for at least five years, with the option to expand quantity and duration
- Stellantis will partly fund the project with a US$30 million (AU$43.2 million) investment in two tranches of project funding towards the facility capital cost
- E25 shares were up 14.6 per cent, trading at $1.10 at market close
Element 25 (E25) has signed an agreement to supply NYSE-listed Stellantis with battery-grade high purity manganese sulphate monohydrate (HPMSM).
Under the agreement, E25 will provide Stellantis with up to 10,000 tonnes per annum of HPMSM from the company’s HPSMSM processing facility for a minimum of five years.
Further, the agreement also provides the potential to increase both the duration and quantity.
The company said the agreement combines take or pay offtake commitments for 45 kilo tonnes of HPMSM from the facility over five years.
As part of the deal, Stellantis will partly und the project with a US$30 million (AU$43.2 million) investment in two tranches of project funding towards the facility capital cost.
E25 Managing Director Justin Brown said Stellantis support for the company’s HPMSM is a “fantastic endorsement” and supports its plans to become a globally significant long-term supplier of battery materials to meet growing global demand.
“We are fully aligned with Stellantis’ decarbonisation and electrification goals, which represent some of the most ambitious in the industry and E25 have a pathway to reach agreed net zero carbon emission goals under this deal,” Mr Brown said.
“This is an important step in the delivery of our first production module which will combine Element 25’s innovative processing flowsheet and the high quality, ethically sourced manganese concentrate from our 100%-owned Butcherbird Project in Western
Australia to deliver sustainable, ethically sourced battery grade manganese to the electric vehicle industry.”
Stellantis is a multinational automotive manufacturer, and has brands such as Chrysler, Fiat and Maserati.
E25 shares held steady at $1.10 as of 9:50 am AEDT.