North America lithium supply deal anchors Stardust Power–Prairie Lithium partnership

Stardust Power

A new North America lithium supply deal links Stardust Power and Prairie Lithium from 2027. The agreement secures lithium chloride feedstock from Saskatchewan for Stardust Power’s planned refinery in Oklahoma. As a result, the North America lithium supply deal strengthens regional battery material security for EV and energy storage markets.

Structuring a long-term North America lithium supply deal

The North America lithium supply deal commits Prairie Lithium to deliver 6,000 t/yr of lithium carbonate equivalent. Prairie will supply lithium chloride produced from brines in Saskatchewan’s Duperow Formation using direct lithium extraction technology. Meanwhile, initial deliveries will begin in 2027 under a six-year non-binding contract, with options for two extensions.

Stardust Power is building its Muskogee, Oklahoma refinery with a Phase 1 capacity of 25,000 t/yr. Therefore, the North America lithium supply deal will cover only part of its nameplate output, leaving room for additional offtakes. Early lithium chloride shipments can be stored on-site, supporting commissioning and ramp-up flexibility.

Building a regional lithium value chain in North America

The North America lithium supply deal fits Saskatchewan’s push to monetise subsurface brine resources. Prairie controls mineral rights over more than 345,000 acres, providing scale for future expansions. At the same time, direct lithium extraction could lower environmental footprints versus traditional hard-rock mining.

Downstream, Stardust Power is locking in long-term customer visibility through a non-binding 10-year supply agreement with Sumitomo. This dual strategy, combining upstream Prairie volumes and downstream Japanese demand, reduces project risk. As a result, the North America lithium supply deal becomes a central pillar in a cross-border value chain spanning Canada, the US and Asia.

The Metalnomist Commentary

This North America lithium supply deal underscores how brine projects and midstream refineries are reshaping regional battery raw material flows. For metal and chemical producers, the combination of secure feedstock and long-dated offtake highlights where capital will concentrate along the EV value chain.