Westwater Resources Announces Major Graphite Sales Agreement with Fiat Chrysler
TL;DR
Westwater Resources secures crucial deal with Fiat Chrysler, positioning the company ahead in the graphite market.
Westwater will supply natural graphite anode material to Fiat Chrysler, covering the balance of Phase 1 production.
This agreement supports the energy transition and reduces risk for lenders, while increasing Westwater's market presence outside of China.
Fiat Chrysler's commitment to the energy transition through the partnership with Westwater represents a significant move in the automotive industry.
Found this article helpful?
Share it with your network and spread the knowledge!
Westwater Resources Inc (NYSE-A:WWR) has announced a significant sales agreement with Fiat Chrysler Automobiles, part of the Stellantis group of companies. This new contract is a crucial step for Westwater Resources in securing debt financing as it represents a major offtake agreement.
Steve Cates, senior vice president and CFO, joined Proactive's Stephen Gunnion to discuss the partnership with Fiat Chrysler, a company committed to the energy transition. The contract involves supplying natural graphite anode material from Westwater's Kellyton graphite plant, covering the balance of the Phase 1 production. This agreement, combined with a previously announced contract with Korea's SK On, ensures that the company’s plant capacity is fully contracted.
Cates highlighted the importance of this agreement in the context of the graphite market, which has been dominated by China for decades. Having 100% committed volumes under contract is beneficial for lenders as it reduces the risk compared to uncommitted capacity sold on the spot market.
Fiat Chrysler will begin receiving supplies in 2026. In the meantime, Westwater Resources will focus on securing financing, selecting a lender, and continuing with the construction of Phase 1. The company is also looking ahead to Phase 2, with partial volumes already under contract and ongoing efforts to engage additional customers.
Curated from News Direct
