First Phosphate Corp. (CSE:PHOS) has entered into a multi-party agreement to collaborate on a new initiative known as LFP Project America.
The initiative aims to produce lithium iron phosphate (LFP) cathode active material (CAM) and LFP battery cells within North America.
First Phosphate will work with American Battery Factory (ABF) of Utah and Integrals Power Limited (IPL) of Milton Keynes, UK, to spearhead the initiative.
The collaboration includes the creation of a pilot run for LFP CAM, utilizing IPL technology and raw materials from First Phosphate. Upon the successful completion of the pilot, the trio plans to establish a North American supply plant for LFP CAM to meet ABF's demand, with the potential for integrated facilities that cover the entire production supply chain.
ABF anticipates sustained annual demand for LFP CAM, reaching 40,000 tonnes (20 GWh) by 2028, driven by its planned LFP battery manufacturing facility in Tuscon, Arizona. The company plans to construct multiple manufacturing facilities across North America, each requiring a substantial amount of LFP CAM.
The collaboration will undergo a homologation process, integrating First Phosphate's raw materials and LFP CAM into ABF battery cells for testing in end-user battery storage products.
"LFP Project America is an example of suppliers from the entire supply chain coming together to build the LFP battery sector in North America," First Phosphate CEO John Passalacqua said in a statement. "We need to go from raw materials all the way to finished battery product if we wish to develop supply chain independence in North America."
ABF President, Major General (US-Army Retired) John Kem, also expressed excitement about the strategic partnership. "To enable our energy future, we need strategic relationships like this one that are committed to using innovative techniques and local materials, tied to sustainable environmental practices. LFP Project America does just that."
And, IPL CEO Behnam Hormozi highlighted the collaboration's potential for accelerating the development of green LFP technology, contributing to net-zero goals.
First Phosphate, with access to clean igneous anorthosite phosphate-bearing rock in Quebec, Canada, aims to purify a substantial quantity of battery-grade purified phosphoric acid to support LFP Project America.