EnergyX Lands 10-Year Lithium Deal to Advance Texas Project

Trafigura has signed a binding 10-year agreement to purchase 100,000 metric tons of battery-grade lithium products from Energy Exploration Technologies, Inc. (EnergyX), supporting the company's lithium production projects in Texas and Chile.

Announced October 12, the agreement covers lithium carbonate from EnergyX's Project Black Giant in Antofagasta, Chile, and lithium hydroxide from Project Lonestar in Texas. A significant share of the contracted volumes is expected to supply the U.S. battery supply chain.

Under the agreement, Trafigura will purchase 66% of Phase 1 production committed for sale from Black Giant and 30% of Phase 1 offtake from Lonestar. EnergyX is targeting commercial-scale production at the Chilean project in 2028, followed by Lonestar in 2029.

The deal provides a potential boost to financing efforts for both projects.

EnergyX says long-term purchase commitments are a key requirement for securing financing from the U.S. Export-Import Bank and other project lenders, as they provide greater visibility into future sales and revenue.

EnergyX uses direct lithium extraction (DLE), a technology designed to separate lithium from brine. The company is developing the projects as part of its effort to expand lithium production and support battery supply chains in North America.

"This agreement reflects our ability to help bring strategic critical minerals projects online and build secure, diversified supply chains," said Daniel Von Arx, Trafigura's head of battery metals.

He said the company plans to use its logistics network and market expertise to supply battery-grade lithium to customers in the automotive and energy storage industries.

The agreement marks a significant commercial milestone for EnergyX, but both projects must still advance toward planned production. The company's ability to meet its timelines will depend on development progress and securing the financing needed to build commercial facilities.