- Argosy Minerals has executed a non-binding Heads of Agreement (HoA) with Mitsubishi RtM Japan
- Argosy will supply 2000 tonnes per annum of lithium carbonate from its Rincon Lithium Project to Mitsubishi RtM
- Rincon is located within the world-renowned ‘Lithium Triangle’
- The agreement reinforces the long-standing relationship between Argosy and Mitsubishi RtM
Argosy Minerals has locked in a non-binding Heads of Agreement (HoA) with Mitsubishi Corporation’s subsidiary, Mitsubishi RtM Japan.
Under the HoA, Argosy will supply 2000 tonnes per annum of lithium carbonate from its Rincon Lithium Project to Mitsubishi RtM for three years. However, there is an option to extend for a further two years.
The Rincon Lithium Project is located in the Salta Province of Argentina. According to Argosy, the project holds high potential to be a “game-changer” in the lithium industry. It’s strategically located within the world-renowned ‘Lithium Triangle’, which hosts over half of the world’s lithium.
Mitsubishi’s Battery and Electronic Materials Business Development Office is committed to maintaining and progressing its role in the future supply of battery materials for the growing electric vehicle market. To do this, it needs to collect raw materials such as nickel, cobalt, and lithium.
Today’s agreement reinforces the long-standing relationship Argosy formed with Mitsubishi RtM after its first Rincon site visit in November 2017.
“We are delighted to continue building our strong relationship with Mitsubishi RtM and their trust in Argosy to consider being our longer-term lithium carbonate off-take partner. We appreciate working so professionally with Mitsubishi RtM and the potential longer term benefits for both parties,” Argosy Managing Director Jerko Zuvela said.
In March 2019, the companies executed a sales agreement which allowed Argosy to utilise its Stage 1 industrial scale pilot plant for small-scale commercial lithium production and product sales.
The company is continuing to progress production operations from the plant to supply lithium carbonate at a grade of above 99.5 per cent.
“It is another strong endorsement for Argosy, the Rincon Lithium Project and our fast-track development strategy toward commercial LCE production,” Jerko said about today’s agreement.
Argosy will continue to try and secure a capex funding solution for the near-term development of the 2000 tonnes-per-annum lithium carbonate production plant for the Rincon Lithium Project.