Westwater Resources Inc (NYSE-A:WWR) said it has signed its first letter of intent (LOI) to sell Ultra-Purified Micronized Graphite (Ultra-PMG) from its Kellyton Graphite Processing Plant, which is now under construction in east-central Alabama.
The amount of product covered by the LOI represents more than 25% of the expected annual production of Ultra-PMG at the Kellyton plant.
As is standard, the LOI is subject to customary conditions and quality and packaging specifications that will be included in a future definitive agreement.
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Ultra-PMG represents approximately one-half of the expected production of purified graphite from the Kellyton Graphite Processing Plant. The other half of the expected production will be coated spherical purified graphite (CSPG), which will be used in lithium-ion batteries including for electric vehicles.
Ultra-PMG can be used in a variety of industrial applications. While customer interactions are ongoing related to the company's CSPG product and have gained momentum following the passage of the Inflation Reduction Act, executing agreements for Ultra-PMG is another positive step forward for Westwater.
Westwater Resources is an energy technology company that is focused on developing battery-grade natural graphite.
The company’s primary project is the Kellyton Graphite Processing Plant, while its Coosa Graphite Deposit is the most advanced natural flake graphite deposit in the contiguous United States — and is located across 41,965 acres (around 17,000 hectares) in Coosa County, Alabama.
Contact the author at jon.hopkins@proactiveinvestors.com