Rock Tech Lithium Inc. announced that it has received a binding feedstock supply offer from Castelburg Industrie GmbH. Castelburg, a renowned supplier in the automotive industry commits to supply a minimum of 250,000 dry metric tonnes of spodumene concentrate feedstock for the Company's conversion facility in Guben, Germany over an initial five-year term of the envisaged agreement starting in 2024. Binding Feedstock Offer for Guben Lithium Plant Secured.

Under the supply agreement Rock Tech will annually source up to 60,000 dry metric tonnes from Castelburg's source in Salta, Argentina, starting in second half of 2024. The price of the spodumene concentrate is based on a discount to market prices and will be adjusted for the actual Li2O content. The supply agreement further provides for a potential increase of volumes and extension of the initial term subject to mutual agreement by the contract parties.

The receipt of the full permit to build and operate the plant is expected for early 2024. The current market outlook for Europe predicts that Lithium conversion capacity will be the major bottleneck in building a sustainable and resilient battery supply chain. Rock Tech's Guben converter will hence be vital for the European battery industry and supply lithium chemicals for approximately 500,000 electric vehicles.

The execution of the supply agreement, including all logistics handling and financing will be facilitated by RTT Lithium SA, a 50%/50% joint venture established by Rock Tech and Transamine SA. RTT is also executing the due diligence, the positive finalization of which is condition precedent for the execution of a supply agreement.