Liontown signs foundational binding Offtake Term Sheet with premier global 
battery maker LG Energy Solution Cornerstone offtake agreement provides strong 
market validation for the product quality and Tier-1 jurisdiction credentials 
of Liontown's Kathleen Valley Lithium Project

Highlights:

- Binding Lithium Spodumene Concentrate Offtake Term Sheet signed with South 
Korean-based LG Energy Solution (LGES). Foundation agreement underpins the 
development of Liontown's A$473 million Kathleen Valley Lithium Project in 
Western Australia.

- Initial 5-year term expected to commence in 2024, with the ability to extend 
for a further 5 years.

- LGES to purchase 100,000 dry metric tonnes (DMT) in the first year, 
increasing to 150,000 DMT per year in subsequent years.

- Pricing determined using a formula-based mechanism referencing market prices 
for Lithium Hydroxide Monohydrate.

- The landmark Offtake Term Sheet is strongly aligned with Liontown's offtake 
strategy, which is targeting Tier-1 customers downstream in the global battery 
value chain.

- Negotiations continue with several Tier-1 customers that will complement 
Liontown's offtake strategy of establishing a diverse portfolio of high-quality 
customers, defined both by geographic location and position within the global 
battery value chain.

Liontown Resources Limited (ASX: LTR) ("Liontown" or "the Company") is pleased 
to announce that it has taken a major step towards the development of its 
flagship Kathleen Valley Lithium Project (Kathleen Valley) in Western Australia 
after executing its first binding offtake term sheet (Offtake Term Sheet) with 
one of the world’s premier battery manufacturers, LG Energy Solution, Ltd. 

Full announcement: 
https://journalists.medianet.com.au/Releases/Attachment?j=965040&s=2&k=1916065

SOURCE: Read Corporate