FX.co ★ Novonix And Stellantis Sign Agreement For Up To 115,000 Tonnes Of Synthetic Graphite

Novonix Limited, trading as NVX and NVX.AX, a prominent player in the battery materials and technology industry, has entered into a definitive offtake agreement with Stellantis NV. This agreement ensures the supply of high-performance synthetic graphite, committing to a minimum of 86,250 tonnes, with a potential target reaching up to 115,000 tonnes. The graphite material is set to be delivered to Stellantis' cell manufacturing partners across North America, starting in 2026, under a six-year contract. The supply will originate from Novonix's Riverside facility along with an expansion site projected for development.

The Riverside facility is positioned to become the foremost large-scale production site in North America tailored for high-performance synthetic graphite in the battery industry. Commercial production is slated to commence in 2025, with output ambitions reaching 20,000 tonnes per annum, aligning with existing customer commitments. Notably, Novonix has been awarded a $100 million grant from the U.S. Department of Energy’s Office of Manufacturing and Energy Supply Chains, alongside a $103 million investment tax credit to further fund the Riverside facility's development.

Additionally, Novonix is progressing with plans to establish a new production facility in the southeastern United States. This new site will initially support a production capacity of 30,000 tonnes per annum, with future expansion capabilities up to 75,000 tonnes per annum. Discussions are ongoing with the DOE Loan Program Office regarding a loan under the Advanced Technology Vehicles Manufacturing Program to aid the construction of the new facility. The company’s strategic objectives aim to boost total production capacity to at least 150,000 tonnes per annum to meet anticipated demand from customers.