Piedmont Lithium Inc. (PLL): Business Model Canvas [Apr-2026 Updated]

You're trying to make sense of the newly configured lithium player after the mid-2025 Sayona merger, right? Honestly, the old playbook is out; we need to look at the structure of the new entity, which is now anchored by the North American Lithium (NAL) mine and a diversified asset base spanning North America and Africa. This isn't just about digging rocks; it's about securing IRA-compliant supply, evidenced by that $56.1 million cash position as of June 30, 2025, and firm off-take deals with giants like LG Chem and Tesla. Here's the quick math: they are shipping 113,000 to 125,000 dmt of spodumene concentrate this year while keeping NAL operating costs tight at $791 per dmt in Q2 2025. Dive below to see the full nine-block breakdown of how this operation is set up to deliver battery-grade materials.

Piedmont Lithium Inc. (PLL) - Canvas Business Model: Key Partnerships

You're looking at the core relationships that underpin the production and sales strategy for the newly formed Elevra Lithium, which absorbed Piedmont Lithium Inc. in late 2025. These are the binding agreements that secure offtake and provide necessary capital.

The North American Lithium (NAL) operation in Quebec is central to the initial supply chain. This asset is a joint venture with Sayona Mining, now operating under the umbrella of Elevra Lithium following the merger completion on August 29, 2025. The ownership structure post-merger is an equal 50:50 equity distribution between the former shareholders of Piedmont Lithium and Sayona Mining. NAL is positioned as North America's sole producer of lithium spodumene concentrate, with a capacity of approximately 220,000 mt/year of spodumene concentrate (SC6), equating to 30,000 mt/year of lithium carbonate equivalent (LCE). The merger itself projects $50 million in annual savings by 2026 and aims to reduce cash costs per tonne by 15%.

The off-take commitments from NAL are significant, especially considering Piedmont's original right to purchase the greater of 113,000 metric tons per year or 50% of SC6 production.

Key offtake and strategic investment partners include:

• Sayona Mining (now Elevra Lithium) for the 75%/25% North American Lithium (NAL) joint venture structure, now a 50:50 equity split.
• LG Chem for a four-year off-take of 200,000 metric tons of spodumene concentrate (SC6).
• Tesla Inc. for a long-term off-take agreement for spodumene concentrate from NAL.
• Atlantic Lithium for the Ewoyaa Lithium Project in Ghana, securing a 50% off-take right.
• Strategic investors providing capital, such as LG Chem.

The agreement with LG Chem is a binding four-year commitment for 200,000 metric tons of SC6, delivered at 50,000 tons per year. This material is expected to yield about 30,000 metric tons of lithium hydroxide, sufficient for roughly 500,000 EV units. This partnership was cemented by a $75 million equity investment from LG Chem, securing them approximately 5.7% of Piedmont Lithium common shares. Furthermore, LG Chem holds priority negotiation rights for 10,000 metric tons per year of lithium hydroxide from Piedmont's planned US facilities.

The arrangement with Tesla Inc. involves the delivery of approximately 125,000 metric tons of SC6 from NAL. This supply commitment is binding for a three-year term with an option to renew for another three years. Deliveries under this amended agreement were set to run from the second half of 2023 through the end of 2025. Combined, the minimum commitments to Tesla and LG Chem from NAL production totaled at least 325,000 metric tons over three to four years.

The international partnership with Atlantic Lithium for the Ewoyaa Lithium Project in Ghana involves Piedmont committing to invest $70 million to earn a 50% stake. This stake grants the right to an off-take agreement for 50% of the Project's spodumene concentrate production during the first decade of operation. The Definitive Feasibility Study from 2023 projected initial output at approximately 300,000 tonnes per annum of SC6, with a total 3.6 million tons over a 12-year mine life. The project's total development expenditure was estimated at $185 million. Parliamentary ratification of the Mining Lease, the final permitting step, was submitted for consideration in the current parliamentary session commencing October 21, 2025.

The capital structure supporting these operations is also being reinforced. Following the merger, the new entity, Elevra Lithium, plans to raise around $99 million in equity, with Piedmont proposing a capital raise of about $27 million and Sayona committing to A$40 million (approximately $27 million).

Here's a summary of the key off-take volumes and financial commitments:

The NAL JV's original entitlement for Piedmont was the greater of 113,000 tonnes per year or 50% of production.

Piedmont Lithium Inc. (PLL) - Canvas Business Model: Key Activities

You're looking at the core actions Piedmont Lithium Inc. (now Elevra Lithium) had to execute to keep the lights on and advance its North American and Ghanaian assets as of late 2025. It's all about production, consolidation, and careful spending right now.

Operating the North American Lithium (NAL) mine to produce spodumene concentrate remains a primary activity, especially given the market's need for near-term supply. The joint venture operation in Quebec delivered a record quarterly production of 58,533 dmt of spodumene concentrate in Q2'25, up from 43,261 dmt produced in Q1'25. Piedmont's portion of shipments was approximately 27,000 dmt in Q1'25, though Q2'25 shipments were guided lower at 8-20K dmt. The company is still targeting full-year 2025 shipments between 113,000 dmt to 130,000 dmt. The realized price per dry metric ton (dmt) in Q2'25 settled at $587.

Integrating the business with Sayona Mining following the mid-2025 merger to form Elevra Lithium was a massive undertaking. The transaction, which completed around August/September 2025, created one of the largest hard-rock lithium platforms. Piedmont Lithium stockholders received 0.35133 American Depositary Shares (Nasdaq: ELVR) for every share of Piedmont common stock held. Management is actively working to realize expected annual synergies of approximately $15 million to $20 million.

• New entity name: Elevra Lithium.
• Equity distribution: 50% for each former shareholder group post-merger.
• Committed funding secured during the process: approximately $43 million.

Advancing permitting for the Carolina Lithium integrated mine and concentrator project is a critical, ongoing activity, especially after the project faced scrutiny in early 2025. The company secured the state mining permit in 2024. The focus now is on advancing the air permit application and the North Carolina General Stormwater permit. If successful, the project is planned to produce up to 60,000 tons of lithium hydroxide annually across two planned processing facilities, each with a 30,000-ton capacity.

Managing capital discipline with a reduced FY2025 CapEx forecast of $4-$6 million is a direct response to market conditions. This guidance was lowered from a previous range of $6-$9 million. The company's cash position as of June 30, 2025, stood at $56.1 million. This discipline involved adjusting near-term land acquisitions at the Carolina Lithium Project to conserve capital.

Securing non-dilutive project financing for the Ewoyaa project in Ghana is managed through an earn-in agreement with Atlantic Lithium. Piedmont is committed to sole funding the initial US$70 million of the total US$185 million development expenditure indicated by the Definitive Feasibility Study (DFS). Separately, Atlantic Lithium secured a £28 million equity funding package in September 2025, which complements Piedmont's commitment and helps advance the project toward production, which was estimated to begin in 2025.

Piedmont Lithium Inc. (PLL) - Canvas Business Model: Key Resources

You're looking at the core assets Piedmont Lithium Inc. (PLL) holds as of late 2025, which are the foundation for its North American supply chain strategy. Honestly, the value here is tied directly to the operational performance of its joint venture and the permitting status of its wholly-owned assets.

The operational asset providing immediate cash flow is the North American Lithium (NAL) mine, which is the largest operating spodumene mine in North America. For the second quarter ending June 30, 2025, NAL achieved a new quarterly production record of 58,533 dry metric tons (dmt) of spodumene concentrate, with lithium recovery averaging 73% and mill utilization at 93%. This production supports Piedmont Lithium's full-year 2025 shipment guidance, projected to be between 113,000 and 125,000 dmt. The unit operating cost improved to US$791 per dmt sold in Q2 2025.

For the domestic asset, Piedmont Lithium holds the mineral rights and land position for the 100%-owned Carolina Lithium project. The last reported total lithium Mineral Resource Estimate for this project, as of October 2021, stands at 44.2 Mt grading at 1.08% Li2O. The company is advancing critical permits, including the air permit application and the North Carolina General Stormwater permit, following the receipt of the mining and processing plant permit from the NCDEQ in April 2024.

Financially, Piedmont Lithium reported cash and cash equivalents of $56.1 million as of June 30, 2025. For that same quarter, the company recognized $11.9 million in revenue from spodumene concentrate shipments, with a realized price per dmt of $587.

The company's Key Resources also include established long-term off-take contracts with major EV supply chain players, which provide a floor and ceiling for pricing on committed volumes. These contracts lock in future demand for material from NAL and, eventually, the Carolina Lithium project.

Here's a quick look at the committed off-take volumes from NAL:

The technical expertise is demonstrated by the operational achievements at NAL, such as achieving a record quarterly production of 58,533 dmt in Q2 2025, and the successful advancement of the complex permitting for the Carolina Lithium project, which is designed to be a low-cost producer of spodumene concentrate and lithium hydroxide.

The core tangible and intangible resources include:

• North American Lithium (NAL) mine, largest operating spodumene mine in North America.
• Mineral rights and land position for the 100%-owned Carolina Lithium project.
• Cash and cash equivalents of $56.1 million as of June 30, 2025.
• Long-term off-take contracts with major EV supply chain players, including commitments to deliver up to 125,000t to Tesla through 2025 and 50,000 t/year to LG Chem.
• Technical expertise evidenced by NAL Q2 2025 recovery of 73% and mill utilization of 93%.

Finance: draft 13-week cash view by Friday.

Piedmont Lithium Inc. (PLL) - Canvas Business Model: Value Propositions

You're looking at the core reasons why customers and partners would choose Piedmont Lithium Inc. (PLL) assets, especially now that the Sayona merger has closed and the combined entity is operating as Elevra Lithium Limited.

Secure, domestic North American supply of lithium products, which is IRA-compliant.

The primary value is securing supply within North America, which is critical given the evolving trade policy landscape and the need for Inflation Reduction Act (IRA) compliance. OEMs and battery manufacturers are actively seeking reliable, IRA-compliant sources of supply. The merger, which closed on August 30, 2025 (AEST) / August 29, 2025 (ET), created the largest hard rock lithium producer in North America. The North Carolina Carolina Lithium project is a key component of this domestic goal, aiming to produce up to 60,000 tons of battery-grade lithium hydroxide annually across two planned processing facilities, each with a capacity of 30,000 tons. The Tennessee lithium hydroxide plant is planned to process about 27,000 tonnes a year of the battery metal, with production targeted for 2026.

Integrated, low-cost production model for future battery-grade lithium hydroxide (LiOH).

The model emphasizes vertical integration to control costs and quality. The Carolina Project's Bankable Feasibility Study (BFS) targeted an average production of approximately 29,400 t/y of lithium hydroxide over a 30-year production life. For the North American Lithium Project (NAL) in Quebec, the brownfield expansion study contemplated a throughput increase to deliver an average annual production of approximately 315,000 tonnes of spodumene concentrate at 5.4% Li2O. This expansion scenario utilized the June 30, 2025 Ore Reserves of 48.6 million tonnes at 1.11% Li2O. The estimated operating cost for this NAL expansion was projected at approximately US$562/dmt (at an assumed Q1 FY26 rate).

Diversified asset base across North America (NAL, Carolina, Tennessee) and Africa (Ewoyaa).

You have a global footprint that balances near-term cash flow with long-term development potential. Here's the asset breakdown:

The Ewoyaa project is targeted for initial production in the second quarter of 2025. Piedmont plans to finance its share of the Ewoyaa development expenditure through the cash flow from its joint venture at NAL.

High-quality spodumene concentrate (SC6) for cathode and battery manufacturers.

The focus is on delivering high-grade feedstock to established buyers. Piedmont Lithium Inc.'s customers include Tesla and LG Chem. The NAL operation delivered spodumene sales of 25,975 dmt for the September 2025 quarter. The Ewoyaa Definitive Feasibility Study (DFS) indicated an economic viability based on a Life of Mine concentrate pricing of US$1,587/t, FOB Ghana Port.

A defintely simplified structure after the Sayona merger, enhancing operational efficiency.

The merger was designed to streamline operations and financial focus. The combined entity completed a $69 million placement to Resource Capital Fund VIII, L.P. concurrent with closing. The transaction also involved a 150-to-1 share consolidation for ordinary shares on the ASX. This structural change follows a period where Piedmont's standalone expenditures were significantly reduced; joint venture investments and advances were expected to be between $2 million to $4 million in the second quarter of 2025, a sharp drop from $26 million in 2024.

Finance: draft 13-week cash view by Friday.

Piedmont Lithium Inc. (PLL) - Canvas Business Model: Customer Relationships

You're looking at how Piedmont Lithium Inc. locks in demand for its future production, which is key when you're building out complex, capital-intensive projects like the ones in Tennessee and North Carolina. The relationships are structured to provide revenue certainty, which is exactly what lenders and investors want to see.

The core of the strategy involves securing long-term, formula-based off-take agreements. These deals tie the selling price to prevailing market rates, but the formula structure helps manage extreme volatility. For instance, the amended agreement with Tesla Inc. to supply spodumene concentrate (SC6) from the North American Lithium (NAL) mine in Quebec was set to run for a three-year term, covering deliveries from the second half of 2023 through the end of 2025, with a total volume commitment of approximately 125,000 metric tons. Pricing for this was linked to the average market prices for lithium hydroxide monohydrate.

Piedmont Lithium Inc. also established strategic equity partnerships, which cement the customer relationship beyond just a transactional sale. The deal with South Korea's LG Chem is a prime example; LG Chem invested $75 million to acquire a 5.7% stake in Piedmont Lithium common stock. This partnership is directly linked to a commitment from LG Chem to purchase 200,000 tonnes of spodumene concentrate over a four-year period, equating to 50,000 tpy.

The business model is strictly a direct, B2B sales model, targeting large-scale industrial buyers who need secure, long-term material for their battery component manufacturing. The actual sales activity in 2025 reflects this focus. Piedmont Lithium Inc. shipped approximately 20,200 dry metric tons (dmt) of spodumene concentrate in Q2 2025, recognizing $11.9 million in revenue for that quarter. The company's full-year 2025 shipment guidance is set between approximately 113,000 to 125,000 dmt of spodumene concentrate.

A key component of the relationship with strategic partners like LG Chem is securing future supply from the company's domestic assets. Piedmont Lithium Inc. agreed to provide LG Chem with priority negotiation rights for 10,000 tpy of lithium hydroxide that the company plans to produce at its proposed facilities in Tennessee or North Carolina. This directly aligns customer interest with the development of the US battery supply chain, which is important given the context of the Inflation Reduction Act of 2022.

Here's a quick look at the key contractual commitments with major customers:

• LG Chem equity stake: 5.7%
• LG Chem total SC6 offtake: 200,000 tonnes over four years
• LG Chem annual SC6 offtake: 50,000 tpy
• LG Chem US lithium hydroxide priority: 10,000 tpy
• Tesla total SC6 offtake: Approximately 125,000 tonnes through end of 2025
• Piedmont's NAL offtake right: Greater of 113,000 tpy or 50% of production

The NAL joint venture offtake agreement, which feeds these customer sales, has specific pricing parameters for Piedmont's purchases, subject to a floor price of $500/ton and a ceiling price of $900/ton for the life-of-mine term.

The structure of these customer relationships can be summarized in this table:

Finance: draft the Q3 2025 cash flow projection incorporating expected revenue from the 113,000 to 125,000 dmt shipment guidance by next Tuesday.

Piedmont Lithium Inc. (PLL) - Canvas Business Model: Channels

You're looking at how Piedmont Lithium Inc. (PLL) gets its product-spodumene concentrate and future lithium hydroxide-into the hands of paying customers. This is all about the physical movement and the agreements that govern it, which is critical for a company transitioning from developer to producer.

Direct shipments of spodumene concentrate from the NAL mine gate in Quebec

The primary channel for current revenue generation is the direct shipment of spodumene concentrate (SC) from the North American Lithium (NAL) joint venture in Quebec. Piedmont Lithium Inc. expects to ship approximately 113,000 to 125,000 dmt of spodumene concentrate for the full year 2025, supported by NAL's production capabilities.

The operational performance at NAL in Q2'25 provides a concrete example of this channel in action. NAL achieved a quarterly production record of 58,533 dmt of spodumene concentrate. Piedmont itself shipped approximately 20,200 dry metric tons (dmt) of concentrate during that quarter, recognizing revenue of $11.9 million. The realized price per dmt for Piedmont in Q2'25 was $587.

The off-take structure dictates the flow of this material. Piedmont Lithium has the right, via its agreement with Sayona Quebec, to purchase the greater of 50% of NAL's production or 113,000 t/y of SC6. Shipments to customers like Tesla are governed by a three-year agreement to deliver about 125,000 metric tons of SC6 from the second half of 2023 through the end of 2025. Also, LG Chem has a four-year agreement for 200,000 tonnes total, which translates to supplying around 50,000 tonnes per year of SC6.

Here's a quick look at the Q2'25 performance that feeds these channels:

What this estimate hides is that the actual volume shipped by Piedmont is constrained by its 50% or 113,000 dmt/year offtake right, whichever is greater.

Future direct supply from the proposed Carolina Lithium integrated facility to US battery plants

The Carolina Lithium project in Gaston County, North Carolina, is planned as the future direct channel for value-added product, specifically battery-grade lithium hydroxide, aimed at the growing US battery manufacturing base. Current and forecasted battery manufacturing capacity in the US has exceeded 500 GWh with over $25 billion in capital investments announced by 2025.

Piedmont Lithium Inc. intends to build two processing facilities at the Carolina site, each with a planned annual production capacity of 30,000 tons. The aspirational target for annual lithium hydroxide production is up to 60,000 tons, which would triple the current US production level. The Bankable Feasibility Study (BFS) projected an average production of approximately 29,400 t/y of lithium hydroxide over a 30-year life, using 2.0 Mt of SC6 from the Carolina operations in the first 11 years.

The timeline for this channel remains subject to permitting; construction is now hoped to start at least in 2025, with production targeted for 2027. The initial cost estimate for this integrated site was $840 million.

The expected output from the Carolina project is designed to meet US demand, which could exceed 460,000 t/y of lithium hydroxide by 2027 based on manufacturing capacity.

Logistics and shipping networks optimized for global delivery to off-take partners

Optimizing logistics is key to realizing the value from the NAL concentrate, especially given the cost pressures. Unit operating costs at NAL improved in Q2'25 to A$1,232 (US$791) per dmt sold, representing a 10% decline quarter-over-quarter due to increased production efficiencies.

The pricing mechanisms embedded in the agreements also form part of the channel strategy, linking revenue directly to downstream product markets. For instance, the pricing for shipments to Tesla is determined by a formula linked to average market prices for lithium hydroxide monohydrate.

Piedmont Lithium Inc. and Sayona Mining are actively exploring ways to make the physical movement more efficient, including looking at commingling shipments to achieve material transport cost savings.

The current delivery destinations and associated volumes/terms include:

• Shipments to Tesla: Approximately 125,000 tonnes through the end of 2025.
• Shipments to LG Chem: Approximately 50,000 tonnes per year for four years, starting in Q3 2023.
• Piedmont's own offtake from Sayona Quebec: Entitles purchase of up to 113,000 dmt/year, subject to a price ceiling of $900 per metric tonne for SC-6.0%.

Piedmont Lithium Inc. (PLL) - Canvas Business Model: Customer Segments

You're mapping out the core buyers for Piedmont Lithium Inc. (PLL) as of late 2025, recognizing that the company is in a pivotal transition following its merger with Sayona Mining, aiming to become Elevra Lithium.

The customer base is segmented by the type of material they require and their geographic alignment with North American supply chain goals, which are heavily influenced by the Inflation Reduction Act (IRA).

Major Electric Vehicle (EV) Original Equipment Manufacturers (OEMs), like Tesla.

Piedmont Lithium Inc. has secured a contract with Tesla for its lithium supply. This relationship targets the highest-volume segment of the battery materials market, which is crucial for long-term revenue stability. The company's overall goal is to become one of the largest lithium hydroxide producers in North America, directly serving this OEM segment. For context on the scale of supply being managed, Piedmont Lithium Inc. expected to ship approximately 113,000 to 125,000 dmt (dry metric tons) of spodumene concentrate in the full-year 2025.

Global battery and cathode manufacturers, such as LG Chem.

While specific agreements with LG Chem aren't detailed in the latest reports, Piedmont Lithium Inc. has established significant offtake arrangements that target this manufacturing tier. The company holds an offtake agreement with Sayona Quebec for the greater of 50% of production or 113,000 dmt per year from the North American Lithium (NAL) operation. The pricing mechanism for this NAL material is structured with a floor of $500 per dmt and a ceiling of $900 per dmt. Furthermore, Piedmont holds an offtake agreement for 50% of the life of mine production from the Ewoyaa Lithium Project in Ghana, which supplies spodumene concentrate to customers on a CIF, China market price basis less ocean freight and insurance.

North American-focused battery supply chain companies seeking IRA-compliant materials.

This segment is critical for Piedmont Lithium Inc.'s long-term, integrated strategy, especially given the U.S. focus on domestic sourcing. The company is actively advancing its fully integrated projects to supply battery-grade lithium hydroxide directly into the North American market. The Carolina Lithium project in North Carolina is planned to produce 30,000 tons per year of lithium hydroxide. The Tennessee Lithium project is also part of this strategy to meet increasing demand driven by EV production and IRA incentives. The company's Q2 2025 performance showed shipments of approximately 20,200 dmt of spodumene concentrate (at 5.3% Li2O), generating $11.9 million in revenue with a realized price of $587 per dmt. As of June 30, 2025, Piedmont Lithium Inc. reported cash and cash equivalents of $56.1 million, reflecting capital discipline while advancing these domestic assets.

Here's a quick look at the material flow and key customer-related volumes:

The customer base is defined by these material streams and the strategic importance of securing long-term offtake for both the Canadian concentrate and the future North American hydroxide production.

• Major EV OEM customer: Tesla.
• Key JV partner/offtaker: Sayona Quebec, with a 25% equity interest held by Piedmont.
• North American supply chain focus: Projects in North Carolina and Tennessee.
• Recent shipment volume (Q2 2025): Approximately 20,200 dmt.

Piedmont Lithium Inc. (PLL) - Canvas Business Model: Cost Structure

You're looking at the cost side of Piedmont Lithium Inc.'s (PLL) business as of late 2025, and it's clear the company is prioritizing cash conservation while maintaining operational momentum at its producing asset. The cost structure is heavily influenced by the fixed nature of maintaining the North American Lithium Operations (NAL) plant, even as they manage variable costs carefully.

The operational efficiency at NAL is a key cost driver. For the second quarter of 2025, the unit operating costs at NAL improved to $791 per dmt (dry metric ton) of spodumene concentrate sold. That's a 10% sequential decline from the prior quarter, showing that increased production-NAL hit a record 58,533 dmt in Q2 2025-is helping to spread those fixed plant maintenance costs over more volume. Still, the underlying fixed costs for keeping that facility running are substantial, which is typical for a processing plant.

When you look at capital allocation for the rest of 2025, the focus is decidedly on preservation and advancing non-cash-intensive work. The company has significantly pared back spending on its development projects.

Here's a quick look at the capital deployment guidance for the full fiscal year 2025:

• Capital Expenditures (CapEx) guidance for FY2025 is set low, between $4 million and $6 million.
• This minimal CapEx reflects a focus on conserving capital, especially by adjusting near-term land acquisitions at the Carolina Lithium Project.
• Investments in affiliated ventures (JVs) are estimated to be in the range of $7 million to $13 million for FY2025.

The spending on the development pipeline is highly targeted. For the Carolina Lithium Project, the primary cost activity is advancing critical permits, such as the air permit application and the North Carolina General Stormwater permit, rather than major construction or equipment purchases. Similarly, for the Ewoyaa Lithium Project in Ghana, further development spending is contingent, as it awaits the ratification of the revised Mining Lease terms by Ghana's Parliament.

To put this cost discipline in context, Piedmont Lithium ended Q2 2025 with $56.1 million in cash and cash equivalents, down from $65.4 million at the end of Q1 2025, underscoring the need to manage outflows while NAL production supports the full-year shipment guidance of 113,000 to 125,000 dmt.

The key cost and capital allocation figures for the 2025 fiscal year are summarized below:

The exploration and evaluation spend is effectively channeled into de-risking the future assets through permitting milestones. For the Carolina project, this means advancing the air permit and North Carolina General Stormwater permit applications. For Ewoyaa, the focus is on regulatory progress to unlock the next phase of investment.

Piedmont Lithium Inc. (PLL) - Canvas Business Model: Revenue Streams

You're looking at the core income generation for Piedmont Lithium Inc. (PLL) right now, which is almost entirely tied to the North American Lithium (NAL) joint venture in Quebec, Canada. This is where the cash is coming from as of late 2025.

The primary revenue stream is the Sales of spodumene concentrate (SC6) from the NAL joint venture. For the full year 2025, Piedmont Lithium has reaffirmed its shipment guidance, targeting between 113,000 to 125,000 dmt of SC6. That's the near-term target for the top line from this asset.

To give you a concrete look at the recent performance, Q2 2025 saw revenue hit $11.9 million. This was based on a realized price of $587 per dmt for the material shipped. Honestly, that price point shows the market pressure, even though NAL is hitting operational records.

The structure of the sales is governed by off-take agreements. Revenue from these agreements includes a crucial safety net: a price floor of $500 per dmt for NAL concentrate. This floor definitely helps stabilize the revenue against the worst of any spot market dips.

Here's a quick look at the key metrics from that Q2 2025 period, showing the operational side supporting that revenue:

The revenue generation is currently concentrated in this single product stream, but the strategy definitely looks beyond that. You should also note the characteristics of the current revenue stream:

• Revenue is derived from spodumene concentrate sales only.
• NAL production efficiency reached 93% mill utilization in Q2 2025.
• Lithium recovery at NAL averaged 73% in Q2 2025.
• Q3 2025 shipment guidance is set between 23,000 and 27,000 dmt.

Looking further out, the model anticipates a significant shift in the revenue mix post-2027. This involves Future revenue from sales of battery-grade lithium hydroxide from US facilities. While the Tennessee Lithium conversion facility plans were adjusted to focus on the Carolina Lithium project, the long-term goal remains to capture value further down the chain by producing higher-value lithium chemicals domestically, which should command a premium over concentrate sales.