Elevra Signs Binding 7-Year Supply Deal with Mangrove Lithium and Expands Morella JV
ELVR has more than doubled off its 52-week low of $15.545.
Summary
Elevra signed a binding 7-year spodumene supply agreement with Mangrove Lithium, securing take-or-pay volumes and downside price protection, and proposed expanding its Morella JV with four more exploration projects.
Key Events · M&A and Partnerships · ELVR
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Binding Supply Agreement with Mangrove Lithium
Elevra executed a binding 7-year spodumene concentrate supply agreement with Mangrove Lithium, upgrading the non-binding MoU announced 10 February 2026. Contracted volumes are 122,000 dmt in Year 1 and 144,000 dmt annually from Year 2, on a take-or-pay basis.
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Pricing Terms Improved vs MoU
The agreement includes a floor price expected to be above NAL's cost of production and removes the price ceiling that existed under the MoU, preserving full upside exposure to spodumene price increases.
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Long-Term Customer Secured
Mangrove must achieve FID by 31 December 2028 and Commercial Operation within three years thereafter. Deliveries to Mangrove's planned Eastern Canada facility avoid ocean freight costs, supporting margins.
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Morella JV Expansion Proposed
Elevra entered a non-binding term sheet to add four exploration projects (Deep Well, Mt Dove, Station Peak, Mount Satirist) to the existing Morella JV. Morella can earn 51% by spending A$300,000 on exploration within two years, with Elevra retaining 49%.
Analysis · ELVR · Energy & Transportation
Elevra converted its February MoU with Mangrove Lithium into a binding 7-year take-or-pay supply agreement for 122,000–144,000 dmt of spodumene concentrate annually, with a price floor above production cost and no ceiling. This locks in a long-term domestic customer for NAL output, removes ocean freight costs, and strengthens margins. Separately, Elevra proposed expanding its Morella JV to include four additional exploration projects, with Morella earning 51% by spending A$300,000 over two years — a capital-light way to advance non-core assets while focusing on North American production.
At the time of this filing, ELVR was trading at $67.76 on NASDAQ in the Energy & Transportation sector, with a market capitalization of approximately $1.2B. The 52-week trading range was $15.55 to $102.80. This filing was assessed with positive market sentiment and an importance score of 7 out of 10.