EnergyX and POSCO expand lithium production and supply agreements

EnergyX has signed a binding agreement with Trafigura to supply 100,000 tons of battery-grade lithium products over a ten-year period. The contract, valued at an estimated more than US$2 billion at current market prices, includes lithium carbonate from the Black Giant project in Chile and lithium hydroxide from the Lonestar project in Texas, United States. The deal follows a take-or-pay structure and is intended to provide commercial backing to secure financing for these projects.

In Argentina, POSCO Argentina has inaugurated Planta II of the Sal de Oro project located in the Salar del Hombre Muerto, between the Salta and Catamarca provinces. This new facility is expected to produce 23,000 tons of lithium carbonate annually. This expansion adds to the company's existing operations in the region, which include a lithium hydroxide plant in General Güemes with a capacity of 25,000 tons per year.

POSCO Argentina has also signed a memorandum of understanding with the governments of Salta and Catamarca to coordinate the development of future stages of the Sal de Oro project. The goal of this cooperation is to eventually increase the complex's total production capacity to 100,000 tons of lithium products per year.