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Rare Earth And Bacanora Sign Lithium Supply Deal With Tesla Motors


Well-Known Member
Jul 2, 2013
Los Angeles, USA
On condition that the Sonora project reaches certain performance milestones in the next two years, Tesla will buy lithium hydroxide to feed the manufacturing of batteries at its Gigafactory in Nevada. One of the conditions will be that the Sonora project can supply lithium hydroxide in accordance with volumes and time frames which Tesla will determine.

The supply deal is for an initial five years, starting from when Tesla makes its first order, with an option for this to be extended by another five years.

"The selection of the Sonora lithium project as one of the lithium suppliers to the Tesla Gigafactory is a landmark transaction that will support the development and commercialization of the Sonora lithium project. " said Rare Earth Chairman David Lenigas.


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