TSX-V-listed Rock Tech Lithium has signed a binding long-term offtake agreement with Geneva-based global commodity trading house Transamine for spodumene concentrate produced at the company’s wholly-owned Georgia Lake project in Ontario, Canada.

The agreement supports a long-term commercial pathway for Georgia Lake while reflecting growing market confidence in Rock Tech’s integrated Ontario strategy.

Rock Tech explains that the agreement contemplates the start of deliveries in 2028, subject to the contractual delivery provisions and any adjustments agreed by the parties following completion of the definitive feasibility study (DFS).

The company says the agreement marks another important step in advancing Rock Tech’s integrated Ontario lithium supply chain.

It secures a long-term commercial pathway for full planned production of an estimated minimum of 100 000 dry metric tonnes (dmt) a year of spodumene concentrate from Georgia Lake, while maintaining flexibility for the company to capture additional value through domestic lithium conversion.

The agreement also provides a framework for a development prepayment facility of up to $80-million to support the Georgia Lake project.

Under the terms of the agreement, Transamine will buy spodumene concentrate from Rock Tech over an initial term of seven years, starting in 2028, which may be renewed annually by mutual agreement for up to five additional years.

Contracted volumes ramp from 50 000 dmt during the first year of deliveries to 100 000 dmt a year thereafter, subject to a 10% tolerance in favour of Rock Tech and terms and conditions of the agreement.

Rock Tech says the quantities and timeline will be reviewed and mutually adjusted based on the results of the DFS.

The agreement incorporates a qualified floor price subject to specified resale market, inflation adjustment and project financing provisions.

Additionally, Rock Tech says the agreement is structured to support its integrated Ontario mine-to-conversion strategy.

Should Rock Tech determine that the concentrate is required for its Red Rock Converter, the parties will convert the arrangement into an offtake for battery-grade lithium hydroxide monohydrate and/or battery-grade lithium carbonate, subject to a mutually agreed amendment establishing the applicable specifications, conversion mechanism, pricing, delivery schedule and other terms.

The company explains that Transamine’s take-or-pay commitment continues through and after any such conversion, adjusted for the applicable product, price and delivery terms.

This flexibility allows Rock Tech to sell spodumene concentrate while preserving the option to supply converted lithium chemicals to battery and cathode customers when the planned Red Rock Lithium Converter is developed and commissioned.

Rock Tech CEO Mirco Wojnarowicz says this agreement demonstrates how Rock Tech is turning critical minerals ambition into execution.

He explains that it provides a long-term, commercial foundation for the Georgia Lake mine’s future production, strengthens the company’s financing pathway and, together with the prepayment facility, brings Rock Tech another step closer to building the integrated mine-to-converter platform with the flexibility to convert raw material into battery-grade lithium chemicals through the Red Rock Lithium Converter.