US-based exploration company Chilean Cobalt (C3) has announced a letter of intent (LoI) with commodities giant Glencore for an offtake agreement and strategic partnership for its La Cobaltera project in northern Chile.
The LoI outlines C3’s commitment to supply 100% of its cobalt and copper production to Glencore for an initial period of five years. The sales price will be based on a pricing formula linked to prevailing market prices.
The majority of the copper and cobalt intermediate product stream will be shipped to the US or countries with US free trade agreements.
This aligns with C3’s strategy to establish a US-centric cobalt supply chain, meeting its conditions for potential strategic project financing.
Additionally, Glencore is expected to provide strategic support for advancing C3’s La Cobaltera Phase 1 project and collaborate on greenfield solutions for domestic US processing and refining into battery materials and/or metal products.
