STX strengthens lithium supply chain in Peru, Brazil

[Courtesy of STX]

South Korea’s trading company STX Corp. has secured the rights to sell lithium concentrates produced in South America, boosting its supply chain for secondary battery materials.

The company announced on Monday that it entered into a transportation and sales agreement for lithium spodumene with a undisclosed local partner in Brazil, further solidifying its position in the global lithium market.

The scale of the contract encompasses over 300,000 tons of lithium concentrates annually, which, when refined into high-purity lithium, will result in a reduced volume.

STX is actively pursuing lithium concentrate supply contracts with domestic secondary battery companies. The company also plans to enhance its value chain by establishing lithium refining plants either in Korea or a third country.

In a strategic move, STX also inked a deal with the same partner for an equity investment in a lithium mine in Peru, currently in the preparatory stages of mining and estimated to have reserves of 20 million tons.

This move follows STX’s securing of a 20 percent stake in a nickel mine in Indonesia in August, signaling the company’s commitment to expanding its presence in the mineral resources sector.