EVelution Energy signs $850 million deal with Mitsui to supply cobalt

• EVelution will supply up to 3,000 metric tons of contained cobalt annually from its Yuma County, Arizona facility, with full capacity projected at 7,000 metric tons per year of cobalt sulfate and/or cobalt metal
• The facility construction is scheduled from early 2027 to end-2029 and will create more than 3,300 jobs in Yuma County
• This deal aligns with Japan's commitment to invest up to $73 billion in U.S. energy projects and develop alternatives to China for critical minerals used in EV batteries and advanced technologies

EVelution Energy Signs $850M Cobalt Supply Deal with Mitsui

EVelution Energy has secured an $850 million agreement with Japan's Mitsui to supply cobalt from its upcoming Arizona facility over a five-year period, the company announced Tuesday.

Key Deal Terms:

• Supply of up to 3,000 metric tons of contained cobalt annually to Mitsui
• Five-year contract duration
• Facility location: Yuma County, Arizona
• Full capacity target: 7,000 metric tons per year of cobalt sulfate and/or cobalt metal

Timeline and Economic Impact:

• Construction expected to commence early 2027
• Project completion targeted for end-2029
• Anticipated to create over 3,300 jobs in Yuma County

Strategic Context:

The agreement aligns with broader U.S.-Japan efforts to strengthen critical mineral supply chains and reduce dependence on China. Earlier this year, Japan committed up to $73 billion in U.S. energy project investments and partnered on developing alternative sources for critical minerals and rare earths.

Market Significance:

Cobalt is essential for electric vehicle battery production and various advanced technologies including jet engine superalloys, satellite systems, permanent magnets, and high-performance microchips. This deal strengthens North American cobalt supply capabilities in response to growing EV demand and geopolitical supply chain concerns.

The partnership represents a significant step in securing domestic critical mineral production for the U.S. market while supporting Japan's resource security objectives. The agreement underscores increasing private sector investment in building resilient, China-alternative supply chains for battery and technology materials critical to the energy transition and national security.