Stellantis signs offtake agreement, invests in Alliance Nickel

Stellantis and Alliance Nickel announced the signing of a binding offtake agreement for the supply of 170,000 tons of nickel sulphate and 12,000 tons of cobalt sulphate in total over an initial five-year period. This represents approximately 40% of forecast annual production of the NiWest Nickel-Cobalt Project in Western Australia. Pricing for the nickel and cobalt sulphate is linked to index prices. In addition, Stellantis agreed to purchase EUR 9.2M in new equity in Alliance Nickel, giving it an 11.5% shareholding on completion and rights to nominate one director to the Alliance board. Funds from the equity purchase will be applied to the completion of the NiWest Project Definitive Feasibility Study and engineering design works, expected in the last quarter of 2023. Completion of the binding offtake and share subscription agreements are subject to customary closing conditions, including regulatory approvals.