HOUSTON, April 28th (Argus) - The emerging cobalt ore producer EVelution Energy Company in the United States has signed a binding cobalt supply agreement with the Japanese trading company Mitsubishi. According to the agreement, EVelution Energy Company will supply "the majority" of its cobalt products from its future cobalt ore processing facility in Arizona to Mitsubishi. Through this agreement, EVelution Energy Company will supply up to 3,000 tons of cobalt to Mitsubishi annually. The agreement is for a period of five years and is valued at approximately $850 million based on current market prices.
The company expects its cobalt ore processing facility in Yuma County, Arizona to commence construction in early 2027, and EVelution Energy Company plans to complete it in 2029. Cobalt is used in the production of electric vehicle batteries, high-temperature alloys, and industrial chemicals, among other products.
