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Syrah Resources (ASX:SYR) enters MOU with Samsung SDI

ASX News, Materials
ASX:SYR      MCAP $243.1M
09 August 2023 11:53 (AEDT)

Louisiana AAM SOURCE: Syrah Resources

Syrah Resources (SYR) has signed a non-binding memorandum of understanding (MOU) with Samsung SDI to assess the supply of natural graphite active anode material (AAM) from Syrah’s Vidalia facility in Louisiana, USA.

Vidalia is being developed as a vertically integrated natural graphite AAM supply solution for US battery supply chains, and progress in constructing the 11.25ktpa AAM facility is a step towards AAM production for SYR.

Samsung SDI, a prominent global lithium-ion battery manufacturer, aims to support the growing electric vehicle (EV) market through this collaboration.

The agreement targets finalising a strategic deal by July 10, 2024, to produce up to 10ktpa AAM from Vidalia, starting in 2026.

The partnership will employ a floating price mechanism as SYR expands Vidalia to a 45ktpa AAM production capacity.

SYR shares rose by 8.59 per cent, trading at 69.5 cents at 11:53 am AEST.

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