Australian lithium producer Pilbara Minerals has extended its offtake agreement with integrated lithium chemicals producer Chengxin Group.
Under the existing short-term agreement, signed in 2023, Pilbara will supply 70 000 t of spodumene concentrate from the Pilgangoora operation in the 2024 financial year. The amended agreement will result in an extension and expansion of the offtake agreement until 2026.
The amended agreement will see Pilbara supply a total of 85 000 t. In 2025 and 2026, Pilbara will supply 150 000 t each year.
“We are very pleased to be extending and expanding our relationship with Chengxin, a leading lithium chemical producer and supplier to customers such as BYD, LG Chemical, SK On, CATL and Hyundai.
“This amendment highlights the demand for Pilbara Minerals’ product and is a continuation of our strategy to expand our partnership with leading global lithium producers in the medium term while we progress the development of our long-term downstream partnership strategy,” said MD and CEO Dale Henderson.