Lucid to source anode material from Graphite One
The supply agreement is non-binding and provides for 5,000 tonnes per annum once Graphite One commences production of synthetic graphite. The initial term is 5 years, subject to earlier termination. Sales are based on an agreed pricing formula which is based on future market prices and corresponds to the base prices accepted by both parties. The supply agreement is subject to further conditions and cancellation rights that are customary for an agreement of this type.
“We are committed to accelerating the transition to sustainable vehicles and the development of a robust domestic supply chain ensures the United States, and Lucid, will maintain technology leadership in this global race,” said Peter Rawlinson, CEO and CTO at Lucid. “Through work with partners like Graphite One, we will have access to American-sourced critical raw materials, helping power our award-winning vehicles made with pride in Arizona.”
With the United States currently 100 per cent dependent on imports for synthetic and natural graphite, Graphite One is developing a complete, US-based advanced graphite supply chain solution based on the Graphite Creek deposit, described by the US Geological Survey as the largest graphite deposit in the US ‘and one of the largest in the world’. The plan for the Graphite One project includes the construction of an advanced graphite materials and battery anode production facility in Warren, Ohio. The plan also includes a recycling facility for the recovery of graphite and other battery materials, which will also be located in Ohio and represents the third link in Graphite One’s circular economy strategy.
“This is a historic moment for Graphite One, Lucid and North America: the first synthetic graphite Supply Agreement between a U.S. graphite developer and U.S. EV company,” said Anthony Huston, President and CEO of Graphite One. “G1 is excited to continue pushing forward developing our 100% U.S. domestic supply chain.”
The supply agreement follows Graphite One’s selection of a site for the proposed facility in March of this year. The site, a brownfield in Warren, Ohio, formerly used by the U.S. government to store critical minerals from the National Defence Stockpile, is located in the heart of the automotive industry, in an area with abundant low-cost electricity from renewable energy sources. The site’s existing power lines are sufficient for Graphite One’s Phase 1 target production of 25,000 tonnes per year of battery-grade anode material, and land is available for subsequent phases to increase production to 100,000 tonnes per year.
With its vertically integrated approach from mine to material production, Graphite One intends to produce high-quality anode material for the lithium-ion electric vehicle battery and energy storage systems market.
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