Australian graphite developer Magnis Energy announced in a press release on Tuesday that it signed a binding contract with Tesla over the supply of battery anode materials for three years starting in February 2025, as reported by Reuters.
The news comes as many electric vehicle (EV) manufacturers are eagerly searching for suppliers of key minerals for batteries, especially outside of China, which controls the vast majority of the EV battery supply chain at present.
Tesla also has mineral supply deals with Australia’s BHP Group, Syrah Resources, Liontown Resources and Piedmont Lithium, along with a number of other suppliers around the world.
Magnis says the contract has the company supplying at least 17,500 terapascal of anode active material (AAM), and possibly as much as 35,000 terapascal. The AAM, which is crucial in the making of lithium-ion batteries, will also be made using a U.S. factory that hasn’t yet been built, according to the company’s statements.
Magnis is expected to find a site for the U.S. AAM plant by June 30, with production set to begin by February 2025.
Tesla also signed a deal with Australia’s Core Lithium last year which was supposed to begin supplying the mineral by the end of 2022, though the partnership between the two companies had fallen through by October.
Tesla in Talks to Acquire Battery Metal Miner Sigma Lithium: Report https://t.co/GjwQEBj2IZ
— TeslaNorth.com (@RealTeslaNorth) February 18, 2023
