Stellantis announces low emissions lithium supply from CTR for North American electric vehicle (EV) production

Stellantis, a global mobility player with 14 brands including Vauxhall, Peugeot, Fiat, Citroën, Jeep, and Toyota Motor Europe, and Controlled Thermal Resources Ltd. (CTR) have signed a binding offtake agreement. As part of the agreement, CTR will supply battery-grade lithium hydroxide for use in Stellantis’ North American electrified vehicle production.

CTR’s Hell’s Kitchen Project in California’s Imperial County will recover lithium from geothermal brines utilising renewable energy and steam to produce battery-grade lithium products. They do this in an integrated, closed-loop process, eliminating the need for evaporation brine ponds, open pit mines, and fossil-fuelled processing.

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This sustainable lithium hydroxide will support Stellantis US product offensive of over 25 all-new battery electric vehicle (BEV) launches and 50 percent battery electric vehicle (BEV) sales planned by 2030. This binding off-take agreement sets a new sustainability benchmark for US battery supply chain.

Carlos Tavares, Stellantis CEO, said: “In the fight against global warming, bolstering our battery electric vehicle supply chain to support our bold electrification ambitions is absolutely critical.

“Ensuring we have a robust, competitive, and low-carbon lithium supply from various partners around the world will enable us to meet our aggressive electric vehicle production plans in a responsible manner.”   

CTR will supply Stellantis with up to 25,000 metric tons per year of lithium hydroxide over the 10-year term of the agreement. Stellantis announced in late 2021 a similar supply deal to support its European vehicle production.

Rod Colwell, CTR CEO, said: “This definitive off-take agreement with Stellantis sets a new benchmark for the automotive industry in the United States.

“Securing clean lithium produced with energy from a renewable resource helps to further decarbonise the battery supply chain which in turn, delivers cleaner cars with less environmental impact. We look forward to a strong and successful relationship with Stellantis.”

As part of its Dare Forward 2030 strategic plan, Stellantis announced plans to have global annual battery electric vehicle sales of five million vehicles by 2030. It will reach 100 percent of passenger car battery electric vehicle (BEV ) sales mix in Europe. Plus, 50 percent of passenger car and light-duty truck BEV sales mix in North America. 

Stellantis also increased planned battery capacity by 140GWh to approximately 400GWh, to be supported by five battery manufacturing plants in Europe and North America, together with additional supply contracts.

CTR will produce battery-grade lithium hydroxide and lithium carbonate along with geothermal energy in Imperial County, California with a resource production capacity in excess of 300,000 metric tons per year.

Stellantis recently announced they are partnering with LG Energy Solution (LGES)to establish the first large scale, domestic, electric vehicle battery manufacturing facility in Canada. This joint venture company will produce lithium-ion battery cells and modules to meet a significant portion of Stellantis’ vehicle production requirements in North America.

Ian Osborne
Ian Osborne
Editor-in-Chief at ElectricDrives

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