On February 10, Pilbara Minerals announced the signing of a two-year spodumene concentrate offtake agreement with Canmax. Under the agreement, Pilbara will supply 150,000 tonnes of lithium concentrate annually, with the option to increase the annual supply volume. Additionally, Pilbara holds the right to extend the agreement for an additional 12 months upon its expiration after two years.
The agreement establishes a floor price of US$1,000/tonne with no price ceiling, providing protection during periods of price decline while allowing full participation in potential price upside. Shipments will commence after Pilbara receives an unsecured, interest-free prepayment of US$100 million in 2026, which is expected to enhance the company's short-term liquidity.
Edited by Cassie Li, lixiangying@mysteel.com
