EnergyX has committed about two-thirds of the planned first-phase output from its Chilean lithium project to commodities trader Trafigura, although the $690 million US export-bank financing it has pursued has not been confirmed as a final loan.
Essentially, the contract gives EnergyX a major customer before construction of its full-scale plants is complete.
The agreement covers 100,000 metric tons of battery-grade lithium products over 10 years from Black Giant in Chile and Lonestar in Texas. Reuters, which first reported the transaction, valued it at approximately $2 billion using lithium prices around $20,000 per metric ton.
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The purchase commitment is split into 5,000 metric tons a year of lithium carbonate from Chile and 5,000 tons of lithium hydroxide from Texas, according to Reuters. Trafigura describes the arrangement as covering 66% of Black Giant’s first-phase offtake and 30% of Lonestar’s.
The agreement is binding, but the full pricing, delivery, and termination provisions have not been published.
The production schedule shows how much remains to be delivered. Black Giant targets 7,500 metric tons of annual capacity beginning in 2028, with expansion to 52,500 tons by 2030.
EnergyX’s September 2025 announcement targeted initial commercial production by 2027. By July 2026, the company’s production timetable, as disclosed by Eni, had shifted to 2028.
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The company announced a phased $225 million investment from Eni in July for a 25% stake in the Chilean project company. Eni also obtained an option to purchase up to 25% of Black Giant’s production.
Trafigura’s commitment covers 66% of Black Giant’s first-phase offtake, while Eni separately holds an option to purchase up to 25% of the project’s production. The companies have not publicly detailed how the two arrangements interact.
EnergyX estimated Black Giant’s development costs at just under $1 billion back in its July announcement, including financing costs, although its project webpage separately lists total investment of $725 million. Its investor timeline dates a $690 million Export-Import Bank letter to July 2024, while a September 2025 company announcement described a signed letter of interest.
EXIM says such letters indicate willingness to consider financing, not a commitment to lend. A final financing commitment or loan disbursement could not be independently confirmed.
Texas presents a separate scaling requirement. EnergyX commissioned a demonstration plant rated at roughly 250 metric tons annually in March 2026. The proposed commercial project targets 15,000 tons a year from 2029, or 60 times that demonstration capacity.
Trafigura has used advance purchasing contracts elsewhere, including a March agreement for 80,000 tons from Smackover Lithium’s Arkansas development.
For EnergyX, however, the October contract secures demand before the next hurdles have been cleared: financing, commercial construction, and the scheduled capacity increases needed to supply the promised volumes.
