The Australian-based mining company said the deal will allow it to generate 10% to 20% of its total revenues from its proposed mine-to-hydroxide project for five years.
Piedmont will start delivering spodumene concentrate to Tesla between July 2022 and July 2023 based on both companies’ development schedule.
In a statement, Piedmont President and CEO Keith Phillips said, “We are excited to be working with Tesla, which represents the start of the first US domestic lithium supply chain and disruption to the current value chain. The Agreement highlights the strategic importance of Piedmont’s unique American spodumene deposit and confirms the trend toward spodumene as the preferred feedstock for the lithium hydroxide required in high-nickel batteries.”
Phillips added that Piedmont will now accelerate its mine concentrator development to support Tesla’s plans.
Tesla has an aggressive plan to produce battery
During Tesla’s Battery Day last week, its CEO Elon Musk and Senior Vice President Drew Baglino, and other top executives presented the company’s vision.
