Trafigura and Nth Cycle Sign $1.1B Offtake Agreement for Critical Minerals

On the sidelines of the Indo-Pacific Energy Security Ministerial (#IPEM2026) on 14 March 2026, Trafigura and Nth Cycle signed a long-term Offtake Agreement for Critical Minerals. The Agreement has a duration of ten years and is estimated to be worth USD 1.1 billion.

Based on the Agreement, Nth Cycle will supply battery-grade #CriticalMinerals, including 2,000 tonnes of Nickel mixed hydroxide precipitate (MHP) and 1,500 tonnes of Lithium Carbonate, to Trafigura. The #lithium and #nickel will be recycled from so-called ‘black mass’, obtained from shredded batteries of Electric Vehicles (EV).

“We are delighted to be working with Nth Cycle to strengthen and diversify critical minerals supply chains. There are no critical minerals without refining, and the signing of this offtake agreement demonstrates our commitment to supporting critical minerals security. The combination of Nth Cycle’s innovative refining technology and our global reach, scale and logistics network positions us to connect these vital resources with customers around the world。”

Trafigura Head of Battery Metals Daniel von Arx

Nth Cycle uses its proprietary Oyster Modular Refining System at its Ohio facility. The Ohio plant has been operational since 2024 and Nth Cylce plans to expand with new plants in South Carolina and overseas, in the Netherlands. Based on the Oyster technology, Nth Cycle claims that it can bring a new recycling plant into operation in just two years.

The South Carolina Project is codenamed SHIELD, which is an acronym for Strategic Hub for Industrial Electro-Extraction & Logistics Defense. It is close to AI data centers and ports, and enjoys proximity to one of North America’s fastest-growing energy corridors.

“There is an urgent need to build capacity for black mass refining and develop more diversified and robust supply chains — particularly in the U.S., where securing domestic critical mineral processing capabilities is increasingly central to energy and industrial policy,”

Nth Cycle Co-Founder & CEO Megan O’Connor

The Project in the Netherlands has benefited from a EUR 7.5 million grant from the National Growth Fund under the Critical Raw Materials Lion Initiative of the European Union. It aims to act as a recycling hub for the EU and will produce lithium, nickel, as well as #cobalt, from black mass.

Eventually, the US and EU are collaborating to build and secure supply chains for Critical Minerals that are independent of China. Recently, the EU put into effect the Critical Raw Materials Act. Whereas the Lion initiative is more focused on producer countries, the Minerals Security Partnership (MSP) is centered around consumer countries. The basic principle is to create a Critical Minerals club or geopolitical alliance to counter China’s dominance.