Overview
- The companies announced Wednesday a binding four-year offtake under which Elevra will supply LG with 240,000 dry metric tonnes of spodumene concentrate beginning later this year.
- The spodumene will come from Elevra’s operational North American Lithium (NAL) project in Quebec, tying LG to a local upstream source for battery raw material.
- LG said the supply deal gives it more flexibility to feed both electric vehicle and energy storage system production as it builds more than 50 GWh of LFP cell capacity in North America by December.
- Elevra’s chief executive said the agreement secures a committed customer for a meaningful share of NAL output while keeping the company exposed to market pricing, strengthening NAL’s commercial position.
- Analysts project rapid growth in the U.S. energy storage market and LG points to NextStar Energy’s CAD 5 billion investment and up to 2,500 direct jobs as an example of how local supply deals can bolster regional manufacturing and employment.