Element 25 (ASX:E25) has signed a binding Agreement with Stellantis N.V. to supply battery-grade high purity manganese sulphate monohydrate (HPMSM) from E25's proposed USA-based HPMSM processing facility.
The Agreement combines take or pay offtake commitments for 45Kt of HPMSM for a minimum of five years with US$30M in two tranches of project funding towards the facility capital cost.
E25 will supply up to 10,000tpa HPMSM for five years and Stellantis will part-fund development of the HPMSM processing facility with the US$30M investment.
The performance of the parties is conditioned on satisfactory completion of technical due diligence and a feasibility study.
The supply of HPMSM to Stellantis is expected to commence in 2026.
Following the announcement, shares of Element 25 (ASX:E25) were unchanged at $0.96.