Kidman Resources Limited (Kidman) has entered into a binding agreement with Tesla Inc, the Elon Musk owned company that makes electric vehicles (EV), to supply lithium hydroxide. This follows the 4 May 2018 announcement that Western Australia Lithium (WAL), its 50:50 joint venture with Sociedad Quimica y Minera de Chile (SQM), had entered into an exclusive option to lease a premier site in the Kwinana Strategic Industrial Area in Western Australia. Pact with Tesla is for an initial term of three years on a fixed-price take-or-pay basis from the delivery of first product, and contains two 3-year term options. In addition to the agreement with Tesla, Kidman is in discussions with other strategic, globally significant parties also seeking refined lithium offtake.
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