The Stellantis group has signed an agreement with the Australian company Element 25 Limited to secure its supply of manganese sulphate, an essential component of batteries for electric vehicles.

Stellantis announced on Monday that it has signed an agreement with the Australian company Element 25 Limited to secure its supply of manganese sulphate, an essential component of batteries for electric vehicles.

Start of deliveries in 2026

“This five-year agreement provides for the start of deliveries in 2026 for a total volume of 45 kilotons and options to extend the duration and increase supply volumes,” the Franco-Italian-American group said in its press release.

The Australian company “will supply this raw material from its Butcherbird project in Western Australia”, continues Stellantis, which has also announced that it wants to take a stake in the capital of Element 25.

This mining project concerns the largest manganese deposit in the country according to Element 25, which also plans to build a processing plant in the United States.

The manganese sulphate will then be used in batteries intended for both the American and European markets, according to a spokesman for the automaker.

Stellantis wants to reach 100% of electric vehicle sales in Europe by 2030 and by the same date 50% for passenger and utility vehicles in the United States.

Metals such as manganese but also cobalt, nickel or lithium conduct electricity in car batteries.

The issue of critical metals

According to the International Energy Agency (IEA), global demand for critical metals could quadruple by 2040 if the world complies with the Paris climate agreements.

Europe imports almost all of these materials but has untapped resources. As far as manganese is concerned, South Africa represents 37% of world production.

But in Africa as elsewhere, China has taken “40% control of the value chains for the metals needed to manufacture batteries”, according to industrialist Philippe Varin, author of a report on the supply of the industry. French in mineral raw materials.

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