Engineering and Major Suppliers
Ioneer has partnered with best-in-class partners for the engineering, construction and management of the mine, including well known firms such as Fluor who led the work on the Feasibility Study and is EPCM on the Project, Caterpillar, and Veolia. In addition, leading global mining firm, Sibanye-Stillwater, will become our 50% JV partner in Rhyolite Ridge, having committed US$490m.
Ioneer will produce an average of 20,600 tonnes annually of lithium carbonate equivalent (LCE) over the projected 26-year life of mine. We have announced that South Korean chemicals company, EcoPro, the world’s second largest cathode producer, has signed offtake agreements with Ioneer for 7,000 tonnes annually. Additionally, in 2022, offtake agreements have been signed with the Ford Motor Company and Prime Planet Energy Solutions – a joint venture between Toyota Motor Corporation and Panasonic Corporation.
Discussions with other potential lithium offtake partners continue. The Company is now in the final stages of documentation for two additional lithium offtake agreements with leading car manufacturers, that will ensure our Nevada produced lithium is committed to U.S. EV supply chain. We anticipate announcing these agreements in the second half of CY2022.
Boron is a very significant co-product, accounting approximately 30% of revenue at Rhyolite Ridge. Its reliable and steady revenue contribution helps secure Rhyolite Ridge at the bottom of the global lithium cost curve.
Ioneer has three offtake agreements in place for its boric acid production, which were announced in FY 2020 and together account for 100% of Ioneer’s first year of boric acid production and over 80% of years two and three boric acid production.
The contracts include:
- A binding offtake agreement with Dalian Jinma Boron Technology Group Co. Ltd for 105,000 tonnes per annum of boric acid for five years and includes a distribution agreement for the territories of China and Taiwan.
- A three-year sales and distribution agreement with Kintamani Resources Pte Limited for the territories of Malaysia, Indonesia, Singapore, Thailand, Vietnam, and the Philippines.