Westwater's Offtake Deal With Stellantis Subsidiary Terminated
By Katherine Hamilton
Westwater Resources' binding offtake agreement with Stellantis's subsidiary FCA US has been terminated.
The maker of battery materials said Friday that due to the termination it has paused a debt syndication--which was backed by the agreement--that was underway. The company said its offtake agreements with SK On and Hiller Carbon remain in effect.
Westwater is engaging with the U.S. Export-Import Bank and other government agencies regarding financing opportunities.
Stellantis's subsidiary has indicated it is open to reconsidering the arrangement, but Westwater said any future agreement would be based on current market conditions. Westwater is exploring additional offtake opportunities with other customers.
The company is now focused on optimizing its Kellyton Plant to meet its offtake commitments, it said. The plan is to adjust processing capacity to match the existing offtake agreements and available financing.
The strategy is expected to lower the plant's initial capacity and decrease the total capital and time needed to reach commercial production. Westwater expects to complete this optimization evaluation by the end of the year. It will provide an update in early 2026.
Westwater had raised $55 million through its at-the-market program as of June 30. Its current cash balance is $53 million. The additional liquidity will allow Westwater to navigate the optimization of the first phase of its Kellyton Plant.
Write to Katherine Hamilton at katherine.hamilton@wsj.com
(END) Dow Jones Newswires
November 07, 2025 18:18 ET (23:18 GMT)
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