Compass Minerals and Ford Motor Company Sign Non-Binding Agreement for the Supply of Battery-Grade Lithium
Compass Minerals announced the signing of a non-binding memorandum of understanding (MOU) to explore supplying Ford Motor Company (Ford) with a battery-grade lithium product from its lithium brine development project at its Ogden, Utah, solar evaporation facility.
This agreement follows a similar MOU the company recently signed with LG Energy Solution. Together, these two MOUs represent a majority of Compass Minerals’ expected phase one lithium production.
Under the terms of this MOU, Compass Minerals and Ford will work together to create a two-phase arrangement that secures a significant quantity of Compass Minerals’ production for Ford starting in 2025. Both companies will continue good-faith negotiations, aiming toward a definitive offtake and supply agreement.
“Ford is a brand long associated with innovation, and we are excited about the potential of helping fuel their growth as a leading domestic electric vehicle manufacturer,” said Compass Minerals Head of Lithium Chris Yandell. “We are pleased with the continued interest in our lithium resource and look forward to executing on our plan to begin supplying the market in 2025.”
As previously announced, Compass Minerals is pursuing the sustainable development of an approximately 2.4 mMT LCE resource on the Great Salt Lake, readily available for extraction through existing permits, water rights and operational infrastructure at the company’s Ogden facility, the largest of its kind in the Western Hemisphere.
Read the press release for more information.