Tesla Extends Syrah Resources’ Graphite Supply Default Deadline to January 2026
Australia’s Syrah Resources announced on Monday that it has reached a second agreement with Tesla to extend the deadline related to an alleged default under their graphite supply contract, as the miner works to stabilise its U.S. operations.
Tesla issued a default notice in July, claiming Syrah failed to deliver compliant active anode material samples from its Vidalia processing facility in Louisiana, which produces material for the automaker’s electric vehicle batteries.
The original September 16 cure deadline was first extended to November 15, and has now been pushed further to January 16, 2026.
“While Syrah does not accept that it is in default under the offtake agreement, the parties have agreed to extend the cure date to 16 January 2026,” the company said.
Under the 2021 offtake deal, Syrah committed to supplying 8,000 metric tons of graphite anode material over four years from the Vidalia plant — currently the only large-scale, vertically integrated anode materials facility outside China and a key contributor to U.S. efforts to reduce reliance on Chinese supply chains.
Syrah also noted that Tesla has the contractual right to terminate the agreement if the final qualification of Vidalia’s anode material is not completed by February 9, 2026.
Tesla did not respond to a Reuters request for comment.
Separately, Syrah said a subsidiary had secured $8.5 million under its $150 million loan from the United States International Development Finance Corporation, providing financial support for its Balama graphite mine in Mozambique, which experienced operational setbacks last year due to nationwide protests.
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