Stellantis signs 10-year lithium supply deal with California’s CTR (NYSE:STLA)

Sjo/iStock Unreleased via Getty Images

Stellantis (NYSE:STLA) said on Thursday that it signed an agreement to secure lithium for North America electric vehicle production from Controlled Thermal Resources, which operates in California’s Salton Sea.

The automaker said CTR will supply up to 25K metric tons/year of lithium hydroxide over the 10-year term of the agreement.

The companies said the deal will set a new sustainability benchmark for the U.S. battery supply chain, as CTR’s Hell’s Kitchen project in California will recover lithium from geothermal brines using renewable energy and steam to produce battery-grade lithium products in an integrated, closed-loop process.

Stellantis (STLA) has outlined plans to have 75 battery electric vehicle models on the market and sell 5M EVs annually by 2030.

Separately, the Department of Justice charged Stellantis’ (STLA) Fiat Chrysler U.S. business with criminal conspiracy on Thursday in its multi-year emissions fraud probe related to vehicles with diesel engines, Reuters reports.

The DoJ said Fiat Chrysler (STLA) deceived U.S. regulators and sold its vehicles “knowing that those vehicles did not meet U.S. emissions standards” and deceived customers “by making false and misleading representations.”

An imminent guilty plea represents the final significant action U.S. officials are expected to take against the company in the emissions fraud matter, Reuters said.

Reuters reported last week that Stellantis (STLA) had agreed to plead guilty to a criminal conspiracy charge in the case and pay ~$300M in penalties.

Source link