EnergyX inks 10-year, $2B lithium offtake deal with Trafigura

The deal covers lithium products from both Black Giant in Chile project Lonestar in Texas.

Energy Exploration Technologies (EnergyX) announced Monday it has signed a binding, definitive lithium offtake agreement with global commodities trading giant Trafigura, for the purchase of 100,000 metric tons of battery-grade lithium products over a 10-year term.

Based on current market prices of approximately $20,000 per metric ton, the agreement represents more than $2 billion in revenue for EnergyX over its term, the company said.

The deal covers lithium products from both of EnergyX’s first two flagship projects with lithium carbonate supplied from Black Giant in Chile and lithium hydroxide from project Lonestar in Hooks, Texas.

In March, EnergyX commissioned Lonestar, a demonstration plant capable of producing 250 metric tons per year of lithium carbonate equivalent (LCE), located in the Smackover formation — a lithium-rich brine resource that stretches from Florida to Texas— and the plant is the first DLE facility in the state to process locally sourced brine.

The facility is designed to demonstrate improvements in extraction efficiency, recovery rates and cost competitiveness — key factors that have historically limited the viability of lithium refining outside China.

Currently, China dominates an estimated 70–75% of global lithium chemical conversion capacity, creating a major bottleneck in the global battery supply chain.

This concentration has left the US reliant on foreign processing.

Energy Exploration Technologies (EnergyX) announced Monday it has signed a binding, definitive lithium offtake agreement with global commodities trading giant Trafigura, for the purchase of 100,000 metric tons of battery-grade lithium products over a 10-year term.

Based on current market prices of approximately $20,000 per metric ton, the agreement represents more than $2 billion in revenue for EnergyX over its term, the company said.

The deal covers lithium products from both of EnergyX’s first two flagship projects with lithium carbonate supplied from Black Giant in Chile and lithium hydroxide from project Lonestar in Hooks, Texas.