Element 25 Limited

General Motors And Element 25 To Expand U.S. EV Supply Chain With Domestic Manganese Sulfate Production

Element 25 to supply battery-grade manganese sulfate (HPMSM) to General Motors’ (GM) USA Ultium Battery Plants; GM to provide US$85M Project Financing for E25’s Louisiana HPMSM Facility

Element 25 Limited (E25 or the Company) (ASX:E25) and General Motors Co. (NYSE: GM) announce an agreement for E25 to supply up to 32,500 metric tons of manganese sulfate annually, which will support GM’s annual production of more than 1 million EVs in North America.


  • Element 25 Limited and General Motors LLC (GM) sign definitive agreement for the supply of battery grade high-purity manganese sulfate (HPMSM) for GM’s electric vehicle (EV) battery requirements.
  • Element 25 to supply GM with manganese sulfate required to scale EV capacity in North America beyond 1 million units annually.
  • Element 25 plans to build its first manganese sulfate facility in the U.S. which will process manganese from its Butcherbird mine in Western Australia.
  • GM to provide US$85 million (~A$128 million) loan to Element 25 to build its facility in Louisiana.

Under the agreement, GM will provide E25 with a US$85 million loan to partially fund the construction of a new facility in Louisiana, USA, for production of battery-grade manganese sulfate – a key component in lithium-ion battery cathodes – starting in 20251. (Facility)At the facility, E25 will produce manganese sulfate by processing manganese concentrate from its mining operations in Western Australia. It is expected to be the first facility of its kind in the U.S2.

Element 25 Managing Director Justin Brown said: E25 aims to be a leading source of high quality, vertically integrated, traceable and ESG-compliant battery material to the global electric vehicle industry and GM’s support does more than accelerate our strategy for HPMSM production in the United States. Together, we are creating a resilient and sustainable North American supply chain that will help introduce millions of customers to the performance and environmental benefits of EVs.”

GM executive vice president, Global Product Development, Purchasing and Supply Chain, Doug Parks said:“GM is scaling EV production in North America well past 1 million units annually and our direct investments in battery raw materials, processing and components for EVs are providing certainty of supply, favorable commercial terms and thousands of new jobs, especially in the U.S., Canada and with free trade agreement countries such as Australia. The facility E25 will build in Louisiana is significant because it's expected be the first plant in the United States to produce battery-grade manganese sulfate, a key component of cathode active material which helps improve EV battery cell cost.”

Element 25 expects to invest approximately US$290 million to build the 230,000-square-foot facility. Site preparation is planned to begin in Q3 CY2023, and the plant is scheduled to open in 2025. The facility is projected to create approximately 200 permanent jobs when it is fully operational.

GM continues to strengthen its domestic supply base for EV production. In addition to manganese sulfate, GM has announced direct investments in lithium, nickel and other commodities, as well as cathode active material (CAM). GM and its joint venture partners are installing 160GWh of battery cell manufacturing capacity in the U.S., and its suppliers are onshoring production of permanent magnets and other EV components to North America. To date, these initiatives are creating thousands of jobs in states and provinces including California, Louisiana, Nevada, Texas, Ohio, Michigan, Tennessee, Ontario and Quebec.

Element 25 Limited (ASX: E25) operates the world class 100%-owned Butcherbird Manganese Project in Western Australia (Butcherbird), shipping high quality manganese oxide concentrate to partners in traditional steel related industries. Element 25 has developed an innovative, proprietary, low-cost flowsheet to convert Butcherbird manganese concentrate into battery grade high purity manganese sulfate monohydrate (HPMSM) to supply the global EV industry. Manganese sulfate is a precursor for battery cathode active material and critical in Australia, Europe and the USA. Element 25 aims to become an industry leading, world class, low-carbon battery materials manufacturer underpinned by the large, long life manganese resource at Butcherbird. Company information, ASX announcements, investor presentations, corporate videos, and other investor material in the company’s projects can be viewed at: www.element25.com.au.

General Motors (NYSE:GM) is a global company focused on advancing an all-electric future that is inclusive and accessible to all. At the heart of this strategy is the Ultium battery platform, which will power everything from mass-market to high- performance vehicles. General Motors, its subsidiaries and its joint venture entities sell vehicles under the Chevrolet, Buick, GMC, Cadillac, Baojun and Wuling brands. More information on the company and its subsidiaries, including OnStar, a global leader in vehicle safety and security services, can be found at https://www.gm.com.


Click here for the full ASX Release

This article includes content from Element 25, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.

E25:AU
The Conversation (0)
Miramar Resources

Goldfields Exploration Update

Miramar Resources Limited (ASX:M2R, “Miramar” or “the Company”) is pleased to provide an update on gold exploration activities within the Company’s strategic Eastern Goldfields project portfolio.

Keep reading...Show less
Files labelled "funding," "projects" and "grants."

Element 25 Chosen for US$166 Million Grant from US Department of Energy

Element 25 (ASX:E25,OTCQX:ELMTF) has been selected to receive a US$166 million grant from the US Department of Energy, the company said in an announcement on Tuesday (September 24).

The funds will come from the Battery Materials Processing Grant Program, and will be used for the construction of the company’s proposed battery-grade high-purity manganese sulphate monohydrate (HPMSM) facility in Louisiana.

The Battery Materials Processing Grant Program has a US$3 billion budget to distribute grants for endeavours that will help ensure that the US has a viable battery materials processing industry.

Keep reading...Show less
Element 25 Limited

E25’s High-Purity Manganese Project Selected for US$166M Grant Under U.S. DoE Grant Program

Element 25 Limited (E25 or Company) (ASX: E25; OTCQX: ELMTF) is pleased to announce it has been selected for award negotiations for a US$166 million grant from the U.S. Department of Energy (DoE) under the Battery Materials Processing Grant Programme. This funding will support the construction of its proposed battery-grade high-purity manganese sulphate monohydrate (HPMSM) facility in Louisiana, USA. The grant award is in addition to the US$115 million already committed by offtake partners General Motors LLC (GM) and Stellantis N.V. (Stellantis).

Keep reading...Show less
Piece of manganese.

Trek Metals to Sell Pilbara-based Hendeka Manganese Project to AEFI

Trek Metals (ASX:TKM) announced on Tuesday (September 10) that it has signed a binding option and acquisition agreement to sell its Hendeka manganese project to private US-based company Advanced Energy Fuels (AEFI).

Under the agreement, AEFI has the option to acquire the project as part of a proposed US listing by paying AU$450,000 in cash; it will also issue Trek 8 million shares once it lists, or an amount of shares equal to not less than 20 percent of its total issued capital on a fully diluted basis. The maximum value of the shares will be AU$4 million.

In addition, AEFI will make certain payments, and will solely fund AU$2 million worth of exploration. Other conditions include an option fee of AU$50,000, AU$25,000 of which has already been paid by AEFI.

Keep reading...Show less
Manganese and hematite with an EU flag and text that says "5 Top Canadian Mining Stocks This Week."

Top 5 Canadian Mining Stocks This Week: Euro Manganese Climbs on EU Application

Welcome to the Investing News Network's weekly look at the best-performing Canadian mining stocks on the TSX and TSX Venture Exchange, starting with a round-up of Canadian and US data impacting the resource sector.

The S&P/TSX Venture Composite Index (INDEXTSI:JX) lost 10.12 points this week to close at 567.91. Meanwhile, the S&P/TSX Composite Index (INDEXTSI:OSPTX) was up by 60.1 points to finish at 23,346.18.

Statistics Canada shared real GDP figures on Friday (August 30) for the second quarter of 2024. The data shows the GDP saw a 0.5 percent quarterly gain in Q2, building on a 0.4 percent increase in the first quarter of the year.

Keep reading...Show less
Manganese ore.

Euro Manganese Enters 7 Year Offtake Deal with Wildcat Discovery

Euro Manganese (ASX:EMN,TSXV:EMN,OTCQB:EUMNF) has entered an offtake term sheet with Wildcat Discovery for the sale of high-purity manganese product from its Chvaletice project in the Czech Republic.

The deal, dated August 15 and announced on Monday (August 19), is non-binding and subject to Wildcat completing its planned cathode materials plant in the US. It has an initial term of seven years with the potential for renewal.

Euro Manganese said the news is a major milestone for itself, as well as the west's battery supply chain. President and CEO Dr. Matthew James added that the agreement accounts for a "significant percentage" of Chvaletice's output.

Keep reading...Show less
Three pieces of manganese ore on black background.

How to Invest in Manganese Stocks (Updated 2024)

Manganese is an important industrial metal. More than 90 percent of global consumption is closely tied to the steel and construction sectors, and China is a major consumer of the commodity.

The metal is also used in the most common form of lithium-ion batteries, ones using nickel-manganese-cobalt (NMC) cathodes.

Despite its solid demand base, the manganese price has been a victim of volatility in the past few years. COVID-19 lockdowns, extreme weather events and Russia's war in Ukraine slowed manganese production, leading to price surges. However, more recently China's slower economic recovery has tamped down on steel demand, placing downward pressure on manganese prices.

Keep reading...Show less

Latest Press Releases

Related News

×