NextSource Materials Signs LOI with Major Japanese Anode Producer

NextSource Materials Inc. has announced the signing of a letter of intent (LOI) with a leading Japanese anode materials producer for the potential long-term supply of anode active materials (AAM) for electric vehicle (EV) batteries. This follows a previous multi-year agreement with Mitsubishi Chemical Corp to supply 9,000 tonnes annually to a major OEM. The new LOI is set to lead to two multi-year supply agreements starting in 2027, involving various AAM grades produced at NextSource's proposed Battery Anode Facility in Abu Dhabi, UAE.

The collaboration with the Japanese producer, an established player in battery materials, reflects a rigorous assessment of NextSource's products. The LOI outlines a framework for future negotiations but remains non-binding. Pricing will be market-linked. The producer has chosen to keep its identity confidential for now. This agreement could utilize the full expected production capacity of 14,000 tpa at the Abu Dhabi facility, strengthening NextSource's positioning in the global battery materials market.