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- Magnis Energy Technologies (MNS) pens a three-year deal with Tesla for the supply of anode active materials (AAM) from 2025
- Tesla has agreed to purchase between 17,500 tonnes and 35,000 tonnes per annum of AAM from February 2025 for a minimum three-year term with fixed pricing
- The agreement is conditional on Magnis meeting a tight deadline of milestones, including securing a final location for its commercial facility by June 30 this year and producing AAM from a pilot plant by March 31, 2024
- Magnis is currently in the process of selecting a location for the facility in the US
- Magnis Energy Technologies shares are up 12.35 per cent to 45.5 cents at 10:40 am AEDT
Magnis Energy Technologies (MNS) has penned a three-year deal with Tesla for the supply of anode active materials (AAM) from 2025.
Under the offtake deal, Tesla will purchase between 17,500 tonnes per annum and 35,000 tonnes per annum of AAM from Magnis, starting in February 2025 for a minimum three-year term. The AAM will be supplied at a fixed price.
The agreement is conditional on Magnis meeting a tight deadline of milestones. This includes securing a final location for its commercial facility by June 30 this year, producing AAM from a pilot plant by March 31, 2024, and starting production from the commercial facility by February 1, 2025.
Magnis is currently in the process of selecting a location for its facility in the US.
Meanwhile, the development of the pilot plant facilities for both Nachu graphite concentrate and AAM has begun, with equipment orders initiated and new hires appointed.
The company said the technical aspects of producing AAM using Nachu graphite concentrate had been developed over a seven-year period at facilities based in New York.
The materials have been developed with “environmentally sustainable processes” that do not need any chemical or thermal purification.
“We are really excited to bring our high-performing AAM to market that requires no chemical or thermal purification throughout the whole process, which differentiates this sustainable material in the market and provides great value to all parties,” Magnis Chairman Frank Poullas said.
Magnis Energy Technologies shares were up 12.35 per cent to 45.5 cents at 10:40 am AEDT.
